State Street stablecoin fund launched on June 16 as a government money market fund built to support stablecoin issuers at scale. State Street Investment Management said the product is a registered Rule 2a-7 fund made for the growing needs of firms that issue stablecoins. It also said the fund ranks among the first government money market funds aligned with the GENIUS Act.
The company said the Guiding and Establishing National Innovation for U.S. Stablecoins Act became law in July 2025. According to State Street Investment Management, the law created a framework that allows registered money market funds to back stablecoin issuance. State Street Bank and Trust Company and Anchorage Digital are the fund’s initial investors.
State Street Stablecoin Fund Meets New Rules
Yie-Hsin Hung said the GENIUS Act set a clear framework for how firms can invest stablecoin reserves. Hung, president and CEO of State Street Investment Management, also said the company is partnering with Anchorage Digital to bring these tools to digital assets. Meanwhile, Anchorage Digital operates the first federally chartered crypto bank in the United States, according to the announcement.
Nathan McCauley said the tie-up joins State Street’s cash management skills with regulated stablecoin infrastructure. McCauley, co-founder and CEO of Anchorage Digital, said that mix can help build a stronger base for stablecoin reserves.
Broader Push Into Tokenized Markets
The launch follows the recent debut of the State Street Galaxy Onchain Liquidity Sweep Fund. As a result, the new fund adds to State Street Investment Management’s wider move into tokenized markets. The firm also said it manages more than $5 trillion in assets across 60 countries.
Citi Institute projects global stablecoin issuance could reach $1.9 trillion to $4 trillion by 2030. According to the source, that growth could come from faster institutional adoption and a clearer regulatory backdrop.
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