JPMorgan Chase: Tokenized Money Market Funds to Remain Below 10–15% of Stablecoin Market

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According to ChainCatcher, citing JPMorgan Chase's latest report, stablecoins have become the default "cash infrastructure" for trading, collateral, settlement, cross-border payments, and liquidity management in crypto markets. While tokenized money market funds currently represent only about 5% of the broader stablecoin ecosystem, JPMorgan analysts led by Nikolaos Panigirtzoglou predict their market share will struggle to exceed 10–15% of total stablecoins absent significant regulatory changes. The report attributes this to structural disadvantages, including securities registration requirements, disclosure obligations, and transfer restrictions that constrain growth. Tokenized funds currently appeal mainly to yield-seeking crypto-native investors and institutions seeking on-chain settlement combined with traditional asset protections. Despite advantages in near-real-time settlement and 24/7 transfers, the products face headwinds from liquidity constraints, counterparty risks, and regulatory uncertainty.
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