State Street Unveils Stablecoin Reserves Fund Under GENIUS Act

State Street Investment Management has launched its State Street Stablecoin Reserves Money Market Fund (MMF), designed for stablecoin issuers to comply with the GENIUS Act. The fund is registered under the 1940 Investment Company Act, a requirement established by the GENIUS Act.

The GENIUS Act aims to provide a more coherent regulatory framework for using MMFs to back the issuance of stablecoins. State Street Bank and Trust Company and Anchorage Digital, a federally chartered crypto bank, are initial investors in the fund.

Yie-Hsin Hung, president and chief executive officer of State Street Investment Management, notes that the GENIUS Act has established 'a clear framework for how stablecoin reserves can be invested.'