BNY launches money market fund to hold reserves for US stablecoin issuers
Built to align with the GENIUS Act, the new fund provides a regulated vehicle for holding stablecoin reserves in cash and US Treasurys.
Global bank giant BNY Mellon launched a money market fund designed to hold reserves for US stablecoin issuers.
According to a Thursday announcement, the fund is open to US stablecoin issuers and other qualified institutional investors operating in fiduciary, agency, advisory, brokerage or custodial roles.
The fund is designed to hold the cash reserves mandated by the GENIUS Act, the July 2025 law establishing the first federal framework for US stablecoins and defining the standards for their backing assets. It will not invest directly in stablecoins.