World Liberty Trust Clears First OCC Hurdle to Replace BitGo as USD1 Custodian

The stablecoin custody market is shifting from standalone crypto custodians toward federally chartered trust banks. World Liberty Trust Co. has received preliminary conditional approval from the U.S. Office of the Comptroller of the Currency to become a national trust bank, according to the original report.

If the entity completes its preopening requirements, it would take over from BitGo as the exclusive issuer and custodian of World Liberty Financial’s $USD1 stablecoin for institutional clients nationwide. The trust also intends to provide digital asset custody services to institutions.

What a Trust Charter Actually Changes

The approval is preliminary and conditional, so the trust still has operational and compliance steps to complete before a final green light. But the structure is already telling. World Liberty Trust does not intend to become a federally insured depository institution or a bank under the Bank Holding Company Act. It also has no plans to request a Federal Reserve master account.

That matters because it takes some of the most contentious parts of the US banking debate off the table. A master account request would have invited scrutiny from the Fed and likely from lawmakers. By staying outside the BHCA and avoiding FDIC insurance, the company is positioning itself as a fiduciary asset custodian with federal oversight, not a deposit-taking bank.