JPMorgan: Tokenized Money Market Funds Unlikely to Exceed 15% of Stablecoin Market Without Regulatory Changes

According to JPMorgan analysts led by managing director Nikolaos Panigirtzoglou, tokenized money market funds currently account for approximately 5% of the stablecoin market but are unlikely to grow beyond 10%-15% without regulatory changes. The analysts attributed the ceiling to structural disadvantages—tokenized money market funds are classified as securities, subjecting them to registration, disclosure, and transfer restrictions that limit their circulation across the crypto ecosystem, whereas stablecoins face fewer regulatory constraints. The SEC introduced a streamlined process for issuing onchain money market funds earlier this year, but analysts described such developments as only marginal improvements unlikely to shift the competitive balance.
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