State Street launches stablecoin reserve money market fund

State Street Investment Management has launched a new money market fund specifically designed for stablecoin issuers to hold their reserve assets, intensifying competition among major financial institutions to serve the rapidly growing digital dollar market. The State Street Stablecoin Reserves Money Market Fund, ticker SSCXX, began operating on Tuesday, June 16, 2026.

The fund is structured as a Rule 2a7 government money market fund, investing conservatively in cash, short-term U.S. Treasury securities, and repurchase agreements. This strategy is intended to provide stablecoin issuers with a secure, liquid vehicle for holding reserves, which is critical for maintaining a stable peg to the U.S. dollar. The product was explicitly designed to comply with the reserve requirements established under the GENIUS Act, the federal regulatory framework for payment stablecoins signed into law in July 2025.

Initial investors in the fund include State Street Bank and Trust Company and Anchorage Digital, a federally chartered crypto bank. In an announcement, State Street CEO Yie-Hsin Hung stated that for over 40 years, the firm's cash management business has delivered liquidity solutions to...