Trump-Linked WLFI Applies for US Banking License for USD1 Stablecoin
World Liberty Financial, a crypto firm linked to the Trump family, has announced that WLTC Holdings LLC has applied for a national trust bank charter to issue and custody its USD1 stablecoin.
The move follows USD1’s rapid rise to $3.38 billion in circulation within one year, signaling a push toward full federal regulation.
World Liberty Financial Files for US Trust Bank License
According to its filing with the US Office of the Comptroller of the Currency (OCC), World Liberty Financial has applied to launch World Liberty Trust Company through WLTC Holdings LLC.
The plan is to create a national trust bank focused only on stablecoin services, including issuing, redeeming, and safely holding its USD1 stablecoin.
Mack McCain, general counsel of World Liberty Financial, said regulatory oversight is key for wider adoption.
“WLTC will operate under the same framework the OCC has used for over a century, with segregated customer assets, independent reserve management, and regular examination.”
If approved, this would allow World Liberty Financial to operate under full federal oversight, similar to traditional trust banks.
Here’s What WLTC Services Offers
World Liberty Trust Company plans to offer three main services under the US regulators.
- First, users can create and redeem USD1 stablecoins without paying fees at launch.
- Second, it will allow easy conversion between US dollars and USD1.
- Third, it will safely store USD1 and other approved stablecoins.
All services will follow strict anti-money laundering rules, sanction checks, and strong security systems. The trust bank will also meet the requirements of the upcoming GENIUS Act, which sets clear rules for stablecoins in the US.
Why USD1 Stablecoin Only?
USD1 has seen rapid growth since launch, reaching $3.3 billion in circulation within its first year, making it one of the fastest-growing stablecoins so far. The stablecoin is fully backed by US dollars and short-term US Treasury assets held at regulated institutions.
USD1 currently operates across multiple blockchains, including Ethereum, Solana, BNB Smart Chain, TRON, Aptos, and AB Core.
It is already listed on major exchanges such as Binance and Coinbase, allowing easy access for both retail and institutional users.
When is Approval possible?
If approved, the trust bank will initially serve institutional clients, offering regulated stablecoin and custody services.
However, approval may take time, as the OCC carefully reviews capital strength, compliance systems, and risk controls.
Eventually, last year in December, the OCC gave conditional approvals to major crypto firms like Fidelity Digital Assets, Ripple, Paxos, and Circle. Meanwhile, Crypto.com and Coinbase have also applied, showing growing interest in regulated crypto banking.
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FAQs
Why is World Liberty applying for a national trust bank charter?
They aim to issue, redeem, and securely store USD1 under full federal oversight for safer, regulated operations.
How could this move affect other crypto firms?
Approval may set a regulatory precedent, encouraging firms like Coinbase, Crypto.com, and Paxos to pursue similar charters to gain federal legitimacy and expand institutional services.
When might the public see broader adoption of USD1?
Wider adoption depends on regulatory approval and integration with exchanges and payment platforms, which could take months, but federal backing may boost trust among institutional and retail users.
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