Trump's cryptocurrency policies encourage sanctions evasion, weakening the dominance of the US dollar

Golden Finance reports that on April 21, according to Professor Jayati Ghosh, an economics professor at the University of Manchester, in an article in the Bangkok Post, the Trump administration is strongly pushing for the de-regulation of cryptocurrencies and promotes dollar-pegged stablecoins through the GENIUS Act, while also refusing to develop central bank digital currencies. However, this series of policies is having a self-destructive effect: in 2025, illegal cryptocurrency trading volume increased by more than 160% year over year, as countries such as Russia, Iran, and North Korea use cryptocurrencies to massively evade U.S. economic sanctions.
Among them, Iran has introduced cryptocurrencies into the Hormuz Strait toll collection system, with estimated daily earnings of up to $36 million; Russia, meanwhile, uses crypto exchanges to bypass asset freeze orders and provide funding for military procurement.