JPMorgan Chase: US stablecoin market may fall into a zero-sum game

According to ChainCatcher, JPMorgan Chase's latest research report pointed out that the stablecoin market with a scale of US$270 billion may face a zero-sum game. The report shows that despite the significant increase in the size of the stablecoin market, its proportion of the total market value of cryptocurrencies has remained below 8% since 2020. Market competition intensified after the passage of US stablecoin legislation. Tether plans to launch a fully compliant USAT stablecoin, and financial technology giants such as PayPal and Robinhood have also entered the market one after another. In response, Circle is developing the exclusive blockchain Arc to enhance USDC’s competitiveness. JPMorgan analysts believe that unless the cryptocurrency market expands overall, new entrants may only redistribute existing market share rather than bring substantial growth.