JPMorgan: The growth of stablecoin supply has not eroded the market share of cryptocurrencies

ChainCatcher news, according to CoinDesk, JPMorgan's latest research report indicates that the supply of stablecoins has been increasing, but this expansion does not mean it is capturing market share in cryptocurrencies; rather, it is a sign of the overall increase in the market capitalization of digital assets.

The report also points out that the growth of the stablecoin market is driven by the significant rise in the prices of Bitcoin and Ethereum, which has led to an increase in the market capitalization of the crypto market, thereby boosting the supply of stablecoins.

Additionally, since the U.S. launched the Bitcoin spot exchange-traded fund (ETF) in January this year, investors have increasingly been using stablecoins to enter the crypto market, which has also raised demand.