Full Breakdown
Trump-Linked Crypto Firm Secures Conditional National Bank Charter
8/28/2026, 12:45:48 AM
Approval of a Trust Charter
The Office of the Comptroller of the Currency (OCC) conditionally approved a trust charter for a crypto venture linked to former President Donald J. Trump and his family. The charter does not permit deposit taking or loan issuance, and the entity currently has no employees, capital, or set opening date. The approval will lapse if the firm fails to raise $20 million within 12 months or does not commence operations within 18 months.
Regulatory Conditions and Capital Requirements
The OCC imposed stringent financial safeguards. The bank must hold at least $20 million in tier-1 capital, with the greater of 50 percent of that amount or $10 million maintained in Eligible Liquid Assets. Capital and liquidity levels are to be reassessed quarterly, and an independent auditor must be engaged and verified during a pre-opening examination. Additionally, the firm’s stablecoin activities must comply with the GENIUS Act; non-compliance would trigger a requirement to cease or divest those activities.
Conflict-of-Interest Concerns Raised by Commenters
During the public comment period, seven comments from four entities highlighted potential conflicts involving the bank, President Trump and his family, investors Alexander and Zachary Witkoff, and United Arab Emirates investors in World Liberty Financial, Inc. Critics argued the OCC, whose Comptroller is a presidential appointee, might afford the bank preferential treatment or fail to enforce regulations against it. One comment suggested that certain purchases of WLFIUSD tokens could violate the Emoluments Clause, and several commenters urged the OCC to defer approval pending review by the Committee on Foreign Investment in the United States (CFIUS).
OCC’s Official Response
Regarding foreign-investor concerns, the agency noted that the investors were not principal shareholders but that “passivity commitments” had been received. The OCC also rejected claims that the comment period was too short, emphasizing that commenters provided “voluminous” feedback in time.
Implications and Next Steps
If the firm meets the capital and compliance thresholds, it will receive final authorization to commence business. Failure to satisfy the funding or timeline requirements will cause the conditional approval to expire automatically. The situation underscores heightened regulatory scrutiny of crypto-related banking initiatives, especially those with political affiliations.
