diff --git a/types/coin.go b/types/coin.go
index 8c66866900..93d42b4bb0 100644
--- a/types/coin.go
+++ b/types/coin.go
@@ -875,22 +875,22 @@ func ValidateDenom(denom string) error {
 }
 
 // isValidRune checks if a given rune is a valid character for a rune.
-// It returns true if the rune is a letter, digit, '/', ':', '.', '_', or '-'.
+// It returns true if the rune is a letter, digit, '/', ':', '.', '_', '-', or '$'.
 func isValidRune(r rune) bool {
-	return unicode.IsLetter(r) || unicode.IsDigit(r) || r == '/' || r == ':' || r == '.' || r == '_' || r == '-'
+	return unicode.IsLetter(r) || unicode.IsDigit(r) || r == '/' || r == ':' || r == '.' || r == '_' || r == '-' || r == '$'
 }
 
 // MatchDenom checks if the given string is a valid denomination.
-// A valid denomination must have a length between 3 and 128 characters,
+// A valid denomination must have a length between 2 and 128 characters,
 // start with a letter, and only contain valid runes.
 func MatchDenom(s string) bool {
 	length := len(s)
-	if length < 3 || length > 128 {
+	if length < 2 || length > 128 {
 		return false
 	}
 
 	firstRune := rune(s[0])
-	if !unicode.IsLetter(firstRune) {
+	if !unicode.IsLetter(firstRune) && firstRune != '$' {
 		return false
 	}
 
diff --git a/types/dec_coin.go b/types/dec_coin.go
index 9a2a499424..82f317ed0b 100644
--- a/types/dec_coin.go
+++ b/types/dec_coin.go
@@ -676,7 +676,7 @@ func ParseDecAmount(coinStr string) (string, string, error) {
 				amountRune = append(amountRune, r)
 			} else if unicode.IsSpace(r) { // if space is seen, indicates that we have finished parsing amount
 				parsingAmount = false
-			} else if unicode.IsLetter(r) { // if letter is seen, indicates that it is the start of denom
+			} else if unicode.IsLetter(r) || r == '$' { // if letter is seen, indicates that it is the start of denom
 				parsingAmount = false
 				seenLetter = true
 				denomRune = append(denomRune, r)
@@ -693,7 +693,7 @@ func ParseDecAmount(coinStr string) (string, string, error) {
 			}
 		} else {
 			// Parsing the denomination
-			if unicode.IsLetter(r) || unicode.IsDigit(r) || r == '/' || r == ':' || r == '.' || r == '_' || r == '-' {
+			if unicode.IsLetter(r) || unicode.IsDigit(r) || r == '/' || r == ':' || r == '.' || r == '_' || r == '-' || r == '$' {
 				denomRune = append(denomRune, r)
 			} else {
 				// Invalid character encountered in denomination part