State Street launches a stablecoin fund in accordance with the GENIUS Act: a new standard for reserves
State Street's investment division has launched the State Street Stablecoin Reserves Money Market Fund, specifically designed for stablecoin issuers. This instrument fully complies with the requirements of the U.S. GENIUS Act, which came into effect in July 2025 and establishes strict rules for the reserve backing of "stablecoins."
The first participants in the structure were State Street Bank and Trust Company and the crypto bank Anchorage Digital. Ye-Xin Hung, head of State Street Investment Management, noted that the GENIUS Act has created clear frameworks for reserve investment, and the new product combines the company's decades of experience in cash management with digital asset infrastructure.
Anchorage Digital emphasized that the quality of reserve management is becoming a critical factor in transforming stablecoins into basic financial infrastructure. This is particularly relevant against the backdrop of analyst forecasts: by 2030, the volume of stablecoin issuance could reach $1.9–4 trillion due to institutional adoption, which will sharply increase demand for transparent collateral mechanisms through government money market funds.
Earlier, in May, State Street, together with Galaxy, launched the SWEEP fund—a tool for managing liquidity around the clock using stablecoins. This demonstrates the company's consistent course toward integrating traditional finance and digital assets.
Expert opinion from Cryptalist: The launch of the State Street Stablecoin Reserves Money Market Fund is not just a new product but a signal of market maturity. The GENIUS Act sets standards that major players like State Street are beginning to implement. This strengthens confidence in stablecoins as a tool capable of competing with traditional money in corporate and institutional settlements. If market growth forecasts of up to $4 trillion materialize, such funds will become a mandatory element of the ecosystem.