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Analysts at JPMorgan have raised concerns regarding the anticipated growth of the stablecoin market cap to $2 trillion by 2028, highlighting that the infrastructure supporting stablecoins is not sufficiently developed for such growth, and their proportion of global money flows is under 1%.
The investment bank JPMorgan Chase & Co. has questioned the feasibility of the projection for the global stablecoin market to achieve $2 trillion, a figure that has been widely discussed in light of U.S. legislative efforts. Analysts from the bank believe this estimate is overly optimistic considering the current lack of maturity in the infrastructure that supports stablecoin transactions. Bloomberg reported on JPMorgan’s analytical commentary.
The $2 trillion projection, articulated in June by U.S. Treasury Secretary Scott Bessent during Senate hearings, suggests an almost eightfold increase from the existing market capitalization of approximately $260 billion. However, JPMorgan’s commentary suggests that such swift growth in the near future is improbable.
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JPMorgan analysts deem it unlikely that the market will grow so significantly in the short term due to the underdeveloped stablecoin ecosystem and infrastructure, which will need time to evolve. They also note that while interest in these assets is increasing, the pace of adoption is expected to be slower than anticipated.
Furthermore, JPMorgan highlights that despite the rising focus on stablecoins, their share of global money flows remains below 1%, reflecting their limited impact on the international financial landscape. Although stablecoins are gaining traction in cross-border transactions and in circumventing traditional payment systems, their application in the real economy is still fragmented, with over 60% of the market dominated by two assets, USDT and USDC.
Doubts also persist regarding the potential engagement of institutional and retail investors utilizing stablecoins as a substitute for fiat currency. The report indicates that such participants are unlikely to actively employ payment stablecoins in the near future, given a cautious approach to liquidity management.
Recently, the GENIUS Act was enacted, formally establishing regulations for U.S. dollar-pegged stablecoins for the first time. This legislation mandates that issuers maintain 100% reserves in government bonds or similar instruments under regulatory supervision. Bessent described these assets as a crucial factor in future demand for the U.S. dollar and U.S. government debt. Nevertheless, even with the introduction of the new regulatory framework, JPMorgan believes that the actual growth potential in the coming years remains constrained.
Сообщение Stablecoins Account for Less Than 1% of Global Money Flows появились сначала на CoinsPaid Media.
