JPMorgan: Ethereum Ecosystem Stablecoin Scale Continues to Grow, Potentially Fueling Ongoing ETH Rally

BlockBeats News, August 15th, JPMorgan Chase noted in a report on Thursday that with Wall Street starting to issue a large amount of stablecoins within the Ethereum ecosystem, ETH's recent outperformance may continue.

According to the bank's analysts, a series of USD-pegged tokens—following last month's "GENIUS Act," which provided a regulatory framework for stablecoins—are expected to impact the Ethereum price, even though these assets are issued on a layer-2 network rather than directly on the Ethereum mainchain.

The analysts stated: "We believe Ethereum is emerging as the pathway to directly participate in the high growth of stablecoins, as the Ethereum network hosts most of these stablecoin assets, whether as L1 directly hosted or through L2 partially hosted."