The World Liberty Financial (WLFI) project, closely tied to the family of the U.S. president, has received preliminary approval from the OCC (Office of the Comptroller of the Currency) to establish a trust bank. This event is undoubtedly significant for the industry, but it once again raises sharp questions about the boundaries between business and politics.
The application review process took seven months. For final approval, the company will need to hire an external auditor and maintain the required level of capital. Notably, three WLFI investors, including one of the president's sons, have already agreed to voluntarily limit their influence over the management of the future bank—a step likely intended to at least somewhat reduce the intensity of criticism.
Particular attention is drawn to the statistics: over the first 19 months of Trump's second term, the regulator approved 22 banking license applications. For comparison, this is more than in the previous five years combined. Moreover, the majority of new approvals went to fintech companies and firms working with digital assets, including giants such as Circle and Coinbase.
WLFI itself emphasizes that obtaining a federal charter is not an escape from oversight, but rather a transition to permanent supervision by the OCC. According to them, the future bank will hold reserves backing the USD1 stablecoin, which will enhance the project's regulatory transparency and expand its usage.
However, Democrats and critics of the president see this as a troubling signal. In their interpretation, the "stablecoin" could become a tool for gaining favor with the White House amid regulators' increasingly lenient approach to the crypto industry. Aaron Klein, a senior fellow at the Brookings Institution, expressed concern: "Creating the illusion among people that stablecoins are backed by the state raises real concerns."
Company representative David Waxman counters: the project remains obligated to comply with anti-money laundering and consumer protection requirements, and weekly reports on USD1 reserves will undergo independent audits. It is worth recalling that recent polls show 63% of Americans consider Trump's income from cryptocurrencies inappropriate.
My analysis: The WLFI situation is a classic case demonstrating how regulatory clarity in the U.S. is becoming a battlefield for trust. On one hand, the acceleration of license issuance is a positive signal for the market, showing the industry's maturity. On the other, even a hint of conflict of interest at the highest level can undermine trust in stablecoins, which is already fragile. The question is not whether this is legal, but how ethical and sustainable such a state of affairs is in the long term.