# Supreme Court Reverses Trump Tariffs

*Author: William M. Peaster*
*Published: Feb 20, 2026*
*Source: https://www.bankless.com/read/news/supreme-court-reverses-trump-tariffs*

---

The U.S. Supreme Court [ruled 6-3](https://www.scotusblog.com/2026/02/supreme-court-strikes-down-tariffs/#:~:text=By%20a%20vote%20of%206%2D3%2C,emergencies%20created%20by%20foreign%20threats.) today that President Trump's expansive tariff program was illegal, delivering an instant jolt of optimism across the U.S. stock market and the cryptoeconomy.  

### **What's the Scoop?**
- **The Ruling:** The court found Trump had exceeded his authority by imposing large-scale tariffs without congressional approval, invalidating billions in existing duties that could force the government to refund well over $130 billion already collected from importers.
- **Markets React:** A few hours after the ruling, green candles weren't in scarce supply. The S&P 500 traded up 0.53%, the Nasdaq up 0.78%, and gold up 1.64%. Crypto majors Bitcoin and Ethereum were up 1.3% and 1.8% respectively, while the majority of the top 100 coins were also trading in the green on the day.
- **Dollar Dips:** The U.S. dollar was a notable exception to the day's risk-on mood, falling 0.2% as traders digested the fiscal math behind the ruling since tariffs had been quietly propping up government revenue. Treasury yields climbed accordingly, as markets began pricing in heavier government borrowing ahead.
- **More to Come:** Trump called the ruling a "disgrace" and said his team has a backup plan. Analysts note the White House could potentially reimpose tariffs through different legal channels, meaning today's ruling may delay rather than end Trump's trade war entirely.

### **Bankless Take:**
Axing tariffs provides a relief for consumers, importers, and risk assets. For crypto specifically, a weaker dollar is historically a tailwind, and if today's dollar softness extends into a broader trend, it could become a catalyst for a sustained recovery in crypto prices. If that happens, it'd be ironic, with a Trump policy defeat ending up as fuel for the very asset class his administration has otherwise championed.
---

*This article is brought to you by [The DeFi Report](https://www.bankless.com/sponsor/the-defi-report-1767388444?ref=read/news/supreme-court-reverses-trump-tariffs)*