Trump-Backed World Liberty Financial Seeks US Bank Charter to Launch Stablecoin Empire
- ByStartupStory | January 13, 2026
World Liberty Financial (WLFI), the decentralized finance venture closely associated with President Donald Trump’s family and political allies, has formally applied for a full US banking license – positioning itself to become the first crypto-native entity with federally insured deposits and stablecoin issuance powers.
The application to the Office of the Comptroller of the Currency (OCC) comes amid Trump’s January 2025 executive order establishing a Strategic National Bitcoin Reserve and signaling crypto-friendly federal oversight. WLFI’s USD1 stablecoin – fully backed 1:1 by US Treasuries and cash equivalents – would compete directly with USDC and USDT while offering FDIC pass-through insurance up to $250,000 per depositor.
From Memecoin to Mainstream Banking
Launched in September 2024 with $300 million+ raised from 50,000+ token holders (including heavy whale accumulation), WLFI pivoted from pure DeFi speculation to regulated infrastructure after Trump’s reelection. The project’s governance tokens – held by Donald Trump Jr., Eric Trump, and core team – grant protocol control without equity dilution.
Key banking ambitions:
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Stablecoin issuance at institutional scale with real-time Treasury collateralization
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Yield-bearing deposits (4.5%+ APY) blending crypto upside with FDIC safety
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Cross-border payments for US exporters/importers bypassing SWIFT fees
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Crypto on-ramps for 50 million+ unbanked Americans via Trump-branded mobile wallet
OCC approval would grant WLFI deposit-taking authority, lending powers, and wire transfer capabilities – unprecedented for blockchain-native entities.
Capital + Political Tailwinds Align
WLFI enters with $550 million war chest from token sales, private placements, and strategic partners. Backers include DWF Labs ($25M lead), Justin Sun ($75M), and Abu Dhabi sovereign funds. The banking license pursuit coincides with Trump’s crypto council nominations – David Sacks as AI/Crypto Czar, Brian Brooks (ex-OCC head) as Treasury advisor.
Regulatory moats include:
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100% on-chain reserves audited by Mazars quarterly
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Chainlink Proof-of-Reserve integrated for USD1 transparency
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BlackRock partnership for Treasury bill custody
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Circle collaboration for USDC interoperability
Perfect Storm: Trump 2.0 + Stablecoin Mania
WLFI times crypto’s Washington inflection:
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SEC stablecoin framework expected Q2 2026 under new chair Paul Atkins
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Federal Reserve pilot for bank-issued stablecoins settles by mid-year
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Enterprise adoption: Walmart, Amazon test stablecoin payrolls
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Retail explosion: Robinhood adds USD1 trading pairs
Competitors lack WLFI’s political gravity. Tether fights NYAG scrutiny; USDC remains consortium-controlled. WLFI offers “America First” branding with Treasury-grade backing.
Path to Trillion-Dollar Stablecoin Dominance
License approval (expected 12-18 months) unlocks $100 billion issuance capacity by 2028. Near-term roadmap delivers USD1 v2.0 with lending markets, DEX integration, and Visa card issuance.
Five-year vision: $500 billion market cap rivaling Bitcoin, powering Trump’s “US Digital Dollar” alongside national BTC reserves. Success rewrites crypto’s Washington narrative – from regulatory pariah to federally chartered powerhouse.
World Liberty Financial proves political capital + blockchain rails = unstoppable money infrastructure. USD1 launches as memecoin curiosity; it exits as America’s stablecoin standard.
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