State Street’s investment management arm is launching a new money market fund designed for stablecoin issuers and structured to comply with U.S. regulatory requirements.
State Street Investment Management announced the launch of the State Street Stablecoin Reserves Money Market Fund, a government money market fund created specifically for stablecoin issuer reserves. Among the fund’s first investors were State Street Bank and Trust Company and Anchorage Digital.
The fund is intended to serve as a reserve management vehicle for digital asset issuers, with a focus on capital preservation, liquidity, and yield. The launch reflects State Street’s broader strategy to expand into tokenized asset markets and blockchain infrastructure solutions.
The company said the fund was designed with new U.S. regulations in mind. The GENIUS Act, passed by the U.S. Congress in July 2025, established a clearer framework for holding stablecoin reserves in money market funds registered under the Investment Company Act.
State Street also noted that it recently introduced the State Street Galaxy Onchain Liquidity Sweep Fund (SWEEP), a tokenized solution that enables 24/7 liquidity management through stablecoins. The new fund complements that offering and strengthens the company’s position in the institutional digital asset solutions segment.
Notably, State Street Bank launched a financial product tokenization platform in early 2026, aiming to connect the traditional financial system with digital asset markets.
As of March 31, 2026, State Street Investment Management oversaw more than $5 trillion in assets under management, while its client base spanned 60 countries.
Earlier in 2026, the investment management divisions of JPMorgan and Morgan Stanley also launched money market funds designed to hold reserve assets for stablecoin issuers.
