Democrat Warren calls for a temporary halt to WLFI bank license review until Trump cuts crypto interests

Democratic Senator Elizabeth Warren of the United States on 1/13 issued a call to regulatory authorities, demanding a temporary halt to the review of the bank license application of the cryptocurrency platform World Liberty Financial (WLFI), until the financial relationship between Trump and the platform is fully severed. She stated that such a level of financial conflict of interest has never been seen before in U.S. history and pointed out that the regulators responsible for review may be unable to remain neutral under Trump’s influence.

WLFI Applies for Bank License to Build a Stablecoin Ecosystem

Subsidiary WLTC Holdings of World Liberty Financial has officially submitted an application to the Office of the Comptroller of the Currency (OCC) to obtain a national trust bank license. Once approved, WLFI will be able to handle the issuance, custody, and exchange of USD1 independently, no longer relying on third-party infrastructure providers like BitGo.

Among the co-founders of World Liberty Financial are U.S. President Trump and his three sons, Eric Trump, Barron Trump, and Donald Trump Jr. The platform has recently expanded rapidly, accumulating billions of dollars in paper wealth for the Trump family, which has also raised significant concerns about conflicts of interest.

Warren Sends Letter to Pressure Regulators to Halt Application Review

By 1/3, Democratic Senator Warren sent a letter to OCC Director Jonathan Gould, requesting that the regulatory agency not review the bank license application as long as Trump and his family maintain financial ties with World Liberty Financial. Warren explicitly stated in her letter:

“As long as Trump or his family still have financial relationships with this company, the application should not be reviewed.”

She further described this situation as unprecedented in U.S. history, constituting a severe financial conflict of interest and corruption risk. Warren also criticized that Congress, when passing the Genius Act stablecoin legislation, did not address potential conflicts of interest involving political figures in the crypto industry. Therefore, she argued, the Senate has a greater responsibility to confront these issues when discussing the crypto market structure legislation.

Warren Questions OCC Director’s Neutrality, Doubts Ability to Remain Impartial

In her letter, Warren expressed strong distrust toward Gould, stating she has no confidence that Gould can fairly review the World Liberty Financial application according to legal standards.

She pointed out that when Gould was asked how he would ensure Trump would not influence OCC’s decisions, he failed to give a clear answer. Yet, he will simultaneously serve as both the “rule-maker” and the “judge,” responsible for setting regulations that could directly impact World Liberty Financial’s profitability, while also overseeing enforcement—targets that include both World Liberty Financial and its competitors.

Given Trump’s own financial ties to the company, Warren naturally questions whether Gould can truly maintain independence and neutrality in such a power structure. Warren further stated that Gould is an official serving the President, and warned that if this case proceeds as usual, it would be the first time in history that a U.S. President is effectively overseeing a financial company they own.

Market Structure Bill Excludes Ethical Clauses, Further Negotiations Pending

Currently, the draft of the Senate Banking Committee’s Market Structure Act, known as the “Clarity Act,” does not include the ethics or conflict of interest provisions demanded by Democrats. However, some members of Congress argue that the bill should incorporate clear regulations to prevent political figures’ conflicts of interest. Additionally, relevant parties note that before the “Clarity Act” is formally advanced, negotiations and amendments could still add new provisions.

This article titled “Democrat Warren Calls for Suspension of WLFI Bank License Review Until Trump Cuts Crypto Ties” first appeared on Chain News ABMedia.