- The proposed trust bank would operate solely within the framework of stablecoins under OCC supervision.
- USD1 reached circulation of more than $3.3 billion within a year of launch.
- The stablecoin is fully backed by U.S. dollars and short-term U.S. Treasury assets.
World Liberty Financial, a crypto firm linked to the Trump family, has applied for a national trust bank charter to bring its stablecoin issuance and custody operations into the traditional U.S. banking regulatory system.
Since its debut, USD1’s supply rapidly expanded to over $3.3 billion within the first year.
Trust Bank Charter
According to documents filed with the U.S. Office of the Comptroller of the Currency (OCC), World Liberty Financial applied to launch the World Liberty Trust Company through its subsidiary WLTC Holdings LLC.
The proposal outlines a national trust bank created exclusively for activities related to stablecoins.
The trust bank would be authorized to issue, redeem, and custody USD1. It would not offer traditional lending or retail banking services.
Instead, it would operate under the long-established OCC trust bank framework, which requires strict asset segregation, independent reserve attestation, and regular examinations.
If approved, World Liberty Financial would operate under the same federal oversight applied to other national trust institutions.
Stablecoin Services
World Liberty Trust Company plans to offer three primary services under U.S. regulatory supervision.
These include minting and redeeming USD1, facilitating conversions between U.S. dollars and the stablecoin, and providing custody for USD1 and other approved stablecoins.
At launch, minting and redemption are expected to be fee-free.
All services will follow anti-money laundering rules, sanctions screening, and enhanced security protocols.
The bank’s structure is also designed to align with the proposed GENIUS Act, which aims to establish clear federal standards for stablecoin issuers operating in the United States.
USD1 Growth
USD1 expanded rapidly after launch, reaching approximately $3.3 billion in circulation during its first year. This pace places it among the fastest-scaling stablecoins to date.
The token is fully backed by U.S. dollars and short-term U.S. Treasury assets held at regulated financial institutions.
USD1 already operates on several blockchains, including Ethereum, Solana, BNB Smart Chain, TRON, Aptos, and AB Core.
It is listed on major exchanges, making it accessible to both retail and institutional users.
Regulatory Path
If the OCC grants approval, the trust bank will initially focus on institutional clients seeking regulated issuance and custody services for stablecoins.
The OCC review process is expected to be detailed, covering capital adequacy, compliance infrastructure, and risk management systems.
This application follows earlier moves by U.S. regulators to engage with crypto firms. In recent months, the OCC issued conditional approvals to other industry participants and numerous crypto firms have sought federally regulated bank-like structures.
Similar filings and conditional approvals issued by the OCC to other firms demonstrate the broader industry trend toward seeking federal oversight for crypto banking services.