JPMorgan: The US Stablecoin Market May Fall into a Zero-Sum Game

ChainCatcher news, JPMorgan's latest research report points out that the $270 billion stablecoin market may face a zero-sum game situation.

The report shows that although the stablecoin market has grown significantly, its share of the total cryptocurrency market capitalization has remained below 8% since 2020. After the passage of stablecoin legislation in the United States, market competition has intensified. Tether plans to launch a fully compliant USAT stablecoin, while fintech giants like PayPal and Robinhood are also entering the market. In response, Circle is developing a dedicated blockchain, Arc, to enhance the competitiveness of USDC. JPMorgan analysts believe that unless the overall cryptocurrency market expands, new entrants may only redistribute existing market shares rather than bring substantial growth.