A crypto venture backed by members of the Trump family has taken a significant step toward deeper integration with the US financial system by applying for a national trust bank charter focused on stablecoin operations. World Liberty Financial, through its subsidiary WLTC Holdings, has submitted a de novo application to the US Office of the Comptroller of the Currency to establish a federally regulated trust institution. If approved, the proposed bank would oversee the issuance, custody, and redemption of USD1, a dollar referenced stablecoin launched last year. The move reflects a broader shift among stablecoin issuers toward seeking direct regulatory oversight as adoption expands among institutions. By pursuing a national charter, World Liberty aims to place its stablecoin operations within a clear federal framework, potentially increasing confidence among corporate users, financial institutions, and payment partners looking for compliant digital dollar infrastructure.
USD1 has grown rapidly since its launch, surpassing 3.3 billion dollars in circulation within its first year, according to the company. The stablecoin is fully backed by US dollars held at regulated depository institutions, along with reserves invested in short maturity US Treasury instruments. It currently operates across ten blockchain networks, supporting use cases such as cross border payments, tokenised settlement, and programmable payouts for enterprise clients. Under the proposed structure, the trust bank would consolidate issuance and custody functions while also enabling direct conversions between US dollars and USD1. World Liberty has indicated that it plans to offer fee free conversions at launch, positioning the platform as a full stack stablecoin service designed to reduce friction for institutional users managing digital dollar liquidity.
The application also highlights how stablecoin regulation in the US is beginning to take shape following the passage of new federal frameworks. World Liberty has said the proposed trust bank is being designed to comply with recently enacted stablecoin legislation, including requirements around asset segregation, reserve management, and ongoing examination. At present, only one crypto native firm operates under a national trust bank charter, making approval a notable milestone if granted. The move underscores growing competition among stablecoin issuers to secure regulatory clarity and first mover advantages in the US market. As stablecoins continue to expand beyond trading into payments and treasury operations, federally chartered structures are increasingly seen as a pathway to broader institutional adoption.
