Crypto Critic Elizabeth Warren Demands OCC Halt WLF Bank Charter Review—Here’s Why It Matters

Senator Elizabeth Warren just threw a regulatory wrench into the crypto banking pipeline.

The Massachusetts Democrat—long a vocal skeptic of digital assets—has formally urged the Office of the Comptroller of the Currency to pause its review of Wyoming-based crypto firm WLF's special-purpose depository institution charter application. It's the latest move in her ongoing campaign to ring-fence traditional finance from what she views as a risky, under-regulated sector.

The Regulatory Standoff

Warren's request isn't coming from nowhere. She's framed it as a necessary time-out, arguing the OCC needs to fully assess the potential systemic risks before letting a crypto-native entity deeper into the banking system. For her, it's about consumer protection and financial stability. For the industry, it's another hurdle in a long march toward legitimacy.

Why This Charter Is a Big Deal

WLF's application represents a critical test case. Approval would grant it federal recognition and the ability to operate across state lines—a major step toward bridging crypto and conventional finance. A pause, or worse, a denial, signals continued skepticism at the highest levels and could chill similar efforts. It's a battle over the on-ramps and off-ramps that the entire digital asset ecosystem depends on.

The Bigger Picture: Wall Street vs. The New Frontier

This skirmish is part of a larger war for the soul of financial infrastructure. On one side, proponents see innovation, efficiency, and inclusion. On the other, regulators like Warren see volatility, opacity, and a playground for bad actors. Her move effectively asks: Should the future of banking be built by startups, or carefully curated by the old guard?

One cynical take? It's classic bureaucratic maneuvering—slow-walking innovation under the guise of prudence, while traditional banks quietly explore their own digital ledgers. The closing argument is simple: progress rarely waits for permission, but in finance, the gatekeepers still hold the keys.

Gould dismisses Warren’s concerns as hypothetical

In his August 20, 2025, response to Sen Elizabeth Warren, the Comptroller dismissed Warren’s concerns about Trump’s influence on the OCC’s independence and decisions related to WLF or USD1 as hypothetical. Meanwhile, Gould stated that the OCC complies with Executive Order 14215, including requirements to consult with and coordinate policies and priorities with the WHITE House National Economic Council, the directors of the Office of Management and Budget, and the White House Domestic Policy Council. 

However, Sen. Warren emphasized that the scenario is no longer hypothetical and called for the Senate to address these serious conflicts of interest issues as it considers legislation on the crypto market structure. In the meantime, she requested the Comptroller to delay the review of WLF’s application until the president divests from the financial company and removes all financial conflicts of interest involving himself or his family and the company.  

“We have never seen financial conflicts or corruption of this magnitude. The United States Congress failed to address them when it passed the GENIUS Act into law…President Trump and his family have probably earned more than one billion dollars from WLF and other cryptocurrency ventures.”

–Sen. Elizabeth Warren, U.S. Senator of Massachusetts

The Massachusetts Senator also pointed out that the OCC is now the primary regulator of federally licensed stablecoin issuers, responsible for approving applications, promulgating rules, supervising stablecoin issuers, and initiating enforcement actions for law violations. However, she is concerned that Gould, who openly supports Executive Order 14215 and the GENIUS Act, is set to review a bank charter application submitted by a company directly tied to the President and his family. 

Sen. Warren warns U.S. banking system’s integrity is at stake

The Ranking Member warned that the integrity of the federal banking system is at stake, pointing out that the OCC could become the president’s pocketbook. According to Sen. Warren, the president of the United States could be in charge of his own financial company for the first time in history.

Warren is concerned that if the Comptroller approves WLF’s application, the OCC will be promulgating rules that influence the profitability of the president’s company. The OCC will also be responsible for directly supervising and enforcing the law against the president’s company and its competitors, while serving at the president’s pleasure.

Warren told Gould that it is his duty and responsibility to ensure businesses and households have fair access to financial services and that the U.S. banking system remains stable. She emphasized that U.S. banking regulators should not be working to enrich their boss.  

According to Warren, the GENIUS Act failed to prevent the President, his family, or his affiliates from financially benefiting from stablecoin activities. She noted that this glaring omission left open the possibility of the exact current situation.

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