JPMorgan Forecasts Stablecoin Market to Hit $500B by 2028 Amid Limited Mainstream Adoption
JPMorgan analysts project the stablecoin market will grow to $500 billion by 2028, a more conservative estimate than the trillion-dollar predictions from some crypto advocates. The bank attributes this tempered outlook to stablecoins' continued reliance on crypto-native demand rather than real-world payments.
Current usage data reveals 88% of stablecoin activity stems from trading, DeFi protocols, and crypto treasury operations. Just 6% of transactions involve actual payments, underscoring the asset class' failure to penetrate traditional finance. "Stablecoins remain a niche product for crypto insiders," the report implies, noting their high friction and low yields deter broader adoption.
The analysis challenges bullish narratives about stablecoins displacing bank deposits or digital wallets. While the projected growth to $500 billion signals institutional recognition of crypto infrastructure, JPMorgan emphasizes these instruments lack the scalability to become true monetary alternatives.