Recent fluctuations in the U.S. tariff policy have been causing instability in the value of the U.S. Dollar compared to its global counterparts. The so-called “Trump tariffs” have raised speculation about the potential threat to the reserve currency status of the U.S. Dollar in the long run.
However, despite the potential negative effects of President Trump’s tariff policy changes on the U.S. Dollar and its supremacy, continuous modifications to U.S. cryptocurrency policy and legislation could serve as a counterbalance. This perspective is backed by President Trump’s statements expressing his support for the growth of the crypto industry, made shortly before the previous month’s “Liberation Day” tariff increase announcement.
Although the White House has been relatively silent on crypto matters since tariff discussions took precedence, Binance CEO Richard Teng believes another wave of transformation for the crypto space is imminent. Teng opines that the forthcoming wave of proposed legislation may accelerate institutional adoption of Bitcoin and other cryptocurrency assets, potentially boosting prices.
While President Trump’s indications about new cryptocurrency-related policy changes and legislation may have been somewhat vague, Teng’s insights lend credibility to the optimistic outlook on further institutional adoption of Bitcoin and other digital currencies.
At the recent Token2049 conference, Teng shared his experiences from recent meetings with U.S. regulators and key government officials. He expressed confidence in the future of crypto in the U.S., stating, “The enthusiasm and optimism in the U.S. are very real. I believe the U.S. will introduce very enlightened, pro-industry, and smart regulations that support the industry while managing the risk simultaneously.”
Previously, pro-growth regulatory changes like the approval of spot Bitcoin ETFs have resulted in major financial institutions embracing crypto. Teng is of the view that clear regulatory guidelines will trigger another wave of institutional adoption, potentially offsetting the short-term fear and uncertainty currently plaguing the space.
Despite the focus on tariffs, it’s evident that the Trump administration still has a keen interest in cryptocurrency. Based on the President’s statements in March, it’s clear that a pro-crypto agenda is still a priority for Trump and his administration.
Trump, speaking at the Digital Asset Summit 2025, shared his vision for America’s role in promoting the growth of the crypto and blockchain economy. He stated that the industry could “improve our banking and payment system,” leading to “an explosion of economic growth.” He also highlighted how stablecoins pegged to the U.S. Dollar could help “expand the dominance” of the world’s primary reserve currency.
The bottom line is, while some of Trump’s statements may be taken with a pinch of skepticism, others should be considered seriously. Only time will reveal the impact of stablecoins on U.S. Dollar dominance, particularly in the face of potential shifts away from American hegemony due to tariff changes. However, given Richard Teng’s recent comments, the Trump administration appears poised to introduce another game-changer for the crypto industry later this year.
