JPMorgan: Stablecoin Rise Indicates Crypto Market Growth Potential

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American expertsInvestment bank JPMorgan opined that the rapid growth of stablecoins such as Tether's USDT may indicate the imminent growth of digital currencies.

Analysts told Cointelegraph that the share of stablecoins in the total market capitalization of the crypto market has been growing recently, reaching new all-time highs by mid-June.

According to a JPMorgan report, the share of allstablecoins grew by 17%, which is significantly higher than in 2020. When the share of stable coins is lower, this, according to experts, indicates limited growth potential for cryptocurrencies. Currently, the value of all stablecoins is $155 billion, and the total market capitalization of the market is $946 billion.

JPMorgan has teamed up with Singapore's DBS Bank to explore the economic potential of cryptocurrencies and explore options for their use as part of the Singapore central bank's Project Guardian.

Previously, the Board of Directors of the Federal ReserveThe US system released a report in which it called stablecoins a potential risk to the financial stability of traditional markets. According to the Fed, stablecoins, which are not backed by safe and sufficiently liquid assets, create risks for investors.