2 hours ago
748
State Street Investment Management has officially joined the stablecoin reserve race with a new fund designed to manage stablecoin assets today. The top investment financing firm’s new money market fund will be purely for issuers operating under the GENIUS Act’s reserve requirements.
The State Street Stablecoin Reserves Money Market Fund (ticker: SSCXX) has been launched as a registered investment vehicle for direct cash holdings and short-term U.S. Treasuries maturing within 93 days. The fund will also hold overnight repurchase agreements collateralized by those Treasuries, according to the firm’s press release.
Anchorage Digital is the fund’s first external backer, operating the only federally chartered crypto bank in the United States. State Street Bank and Trust Company are also financial facilitators, according to the firm’s investor relations page.
State Street SSCXX holdings
State Street’s new money market fund has launched with about $121 million in assets under management, a 3.51% yield, and a 0.18% net expense ratio on its Capital Class, carrying a $15 million minimum investment.
The fund targets a stable $1.00 net asset value and currently carries a three-day weighted average maturity, well inside the 60-day regulatory cap, with investment access available to only issuers under the GENIUS Act’s oversight.
This comes with tradeoffs, as the fund carries no FDIC insurance and no principal guarantee from State Street, per the firm’s own risk disclosures. The restricted asset mix could also compress yields when compared to other government or prime money market alternatives.
The launch follows State Street’s recent introduction of SWEEP, a tokenized liquidity product built with Galaxy Digital that enables around-the-clock cash management on the blockchain. Together, the two products form the core of State Street’s recent push into tokenized money infrastructure.
Why does a dedicated stablecoin fund matter?
The GENIUS Act, signed into law in July 2025, gave stablecoin issuers their first federal framework in the United States. The act requires one-to-one backing for stablecoins with high-quality liquid assets and explicitly allows registered 1940 Act money market funds to qualify as reserve vehicles.
The lucid understanding granted by the act has helped to create a product in stablecoin reserve management. BlackRock already manages a large share of the Treasury portfolio behind Circle’s almost $75 billion USDC. Franklin Templeton, Fidelity, JPMorgan, Goldman Sachs, and BNY have all rolled out competing products targeting the same pool of assets over the past year.
“For more than 40 years, the cash management business of State Street Investment Management has delivered liquidity solutions to the world’s largest and most sophisticated institutional investors,” said Yie-Hsin Hung, president and CEO of State Street Investment Management, in the company’s announcement. “We’re excited to partner with Anchorage Digital to bring these capabilities to the digital assets space.”
Nathan McCauley, co-founder and CEO of Anchorage Digital, framed the partnership around infrastructure credibility. “Stablecoins are quickly becoming core financial infrastructure, making the quality and management of their reserves critically important,” McCauley said in the same release.
State Street pointed to Citi Institute research from September 2025 projecting that global stablecoin issuance could reach $1.9 trillion to $4 trillion by 2030, according to the firm’s press release. These projections, if realized, would lead to the growth of reserve assets generating management fees by multiples from today’s current levels.
Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free.
English (US)