World Liberty Financial, a Trump family company, announced that one of its subsidiaries has applied for national bank certification. World Liberty Trust on Wednesday formally applied to form a national bank and submitted the documents to the Treasury Department’s Office of the Comptroller of the Currency.
If approved, the bank’s charter would allow World Liberty Trust to both issue and custodian. 1 dollara dollar-backed stablecoin. The stablecoin, currently managed by BitGo, has grown to a market value of $3.4 billion after a third-party investor used $1 to fund a $2 billion deal with Binance. USD deposits also back assets invested in regulated institution tokens and short-term US government bonds.
The USD1 stablecoin, founded by World Liberty Financial, recently surpassed the $3 billion market cap, according to a post shared by the company on X.
“We’ve surpassed $3 billion in market cap per USD. This is a big moment for our team and the WLFI community. But milestones aren’t the goal. Building the future of financial rail is the goal. And we’re just getting started,” the company wrote.
World Liberty Financial, co-founded by Donald Trump Jr., created USD1 early last year after Trump took back the White House, saying only that “this is for retail users.”
World Liberty Trust provides long-term stablecoin issuance and redemption
Zach Witkoff, president and chairman candidate for World Liberty Trust Company, said of the de novo filing: noticed“This application marks a further evolution of the ecosystem. USD1 grew faster in its first year than any other stablecoin in history.”
He added that the USD1 token is already being used for international remittances, payment processes, and treasury functions. He further argued that “the National Trust Charter will enable issuance, custody and conversion to be integrated as a full-stack service under one highly regulated entity”.
Overall, the new trust affiliate aims to provide stablecoin issuance and redemption, fiat access services, custody and conversion solutions to institutional clients including cryptocurrency exchanges and investment companies. It operates based on genius actWLFI said it is ensuring all operations meet anti-money laundering and sanctions standards under the stablecoin bill signed into law by President Trump in July.
Besides World Liberty Trust, Coinbase and Crypto.com are also seeking approval to set up banks. Just last month, the Trump administration greenlit a bank authorization bid from BitGo and several large cryptocurrency companies, including Fidelity Digital Assets, Circle, Ripple, and Paxos. Compared to full-service banks, trust banks have much narrower powers. Bank lobbyists have even warned that issuing trust charters could increase systemic risk and undermine trust charters’ credibility.
President Trump helped establish World Liberty in late 2024, presenting it as a DeFi project aimed at connecting crypto investors to lend, borrow, and trade with each other. However, the platform does not yet provide users with access to borrowing, lending, or trading functionality.
Mac McCain, general counsel for World Liberty Financial and future chief trust officer of World Liberty Trust Company, believes the charter will allow the company to launch products more quickly without relying on third parties.
Nevertheless, WLFI remains under intense scrutiny over allegations that the involvement of the president and his family poses a significant conflict of interest. Witkoff argued to critics that trust companies are designed to avoid such disputes. “We intentionally established this trust company to avoid conflicts of interest,” he said in a statement.
He argued that President Trump and his family would only be non-voting stakeholders in the new trust subsidiary and would not oversee the company’s day-to-day operations. In 2024, Witkoff co-founded World Liberty Financial with three of President Trump’s sons, Eric Trump, Donald Trump Jr., and Barron Trump.
USD1 tokens are already listed on top Korean exchanges such as UPbit and Bithumb. It is also available on major US platforms such as Binance, Coinbase, Kraken, and Gemini.
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