JPMorgan has projected that while stablecoin trading volumes are increasing, the overall market capitalization may not expand at the same rate. This is attributed to the increased 'velocity' of stablecoins, where the same funds are reused more frequently, particularly in payment scenarios. This reuse enhances efficiency and reduces the need for additional supply. The bank forecasts that the stablecoin market cap will reach between $500 billion and $600 billion by 2028, cautioning that expectations of a trillion-dollar market are overly optimistic. This analysis suggests a more measured growth trajectory for stablecoins despite their rising adoption.