Democratic members of the U.S. Congress have expressed concerns regarding the bank charter application of World Liberty Financial, a company associated with the Trump family. Lawmakers warn that approving this application could undermine the legal integrity of the American banking system and pose national security risks. World Liberty Financial aims to provide banking services based on cryptocurrency rather than traditional financial systems. As cryptocurrencies gain popularity, several financial institutions in the U.S. are seeking bank charters to operate legally, but new entrants face strict scrutiny to ensure financial stability and consumer protection. Due to its ties with the Trump family, the application is also being evaluated from political and security perspectives. U.S. officials are considering the potential impacts of granting such authority on other financial institutions and the broader crypto market. Previously, various countries have implemented stringent regulations on cryptocurrencies to prevent financial fraud and money laundering. Experts suggest that if World Liberty Financial obtains a bank charter, it could mark a significant milestone for cryptocurrencies, though it may also introduce uncertainty into the financial system. The outcome will depend on how U.S. regulators and lawmakers assess the application and the weight they assign to national security concerns.
Source: decrypt
