Anchorage Digital has joined State Street Investment Management as a seed investor in a new Federal Stablecoin Reserves Money Market Fund. Designers built the fund for stablecoin issuers and large cash managers who need a regulated place to hold reserves. It aims to combine traditional money market structures with onchain access and reporting.
Anchorage calls the fund “GENIUS Act ready,” referring to the new U.S. law that sets standards for stablecoin reserve management. Under that framework, issuers must follow stricter rules for how they hold and report backing assets. The State Street fund seeks to give them a template that already fits those expectations.
How the State Street Reserves Fund Works
State Street Investment Management manages the new vehicle, called the State Street Federal Stablecoin Reserves Money Market Fund. It holds traditional securities, like short-term government and high-quality instruments, while tracking value for onchain users. Stablecoin holders can sweep their tokens into the fund to earn yield, then move back to tokens when needed.
State Street Bank and Trust serves as the custodian for the fund’s securities, while NAV Consulting acts as transfer agent. Galaxy Asset Management supports the structure and uses Chainlink’s NAVLink to publish the fund’s net asset value onchain each day. Chainlink’s CCIP also helps link the fund to multiple chains in a controlled way.
Anchorage’s Role in Stablecoin Reserve Infrastructure
Anchorage is the first federally chartered crypto bank in the United States and already works with major stablecoin issuers. It issues and manages stablecoins that are redeemable one-to-one for dollars and publishes regular reserve reports under federal rules. As a seed investor in the State Street fund, Anchorage extends that model into a dedicated product for reserve assets.
In this setup, Anchorage serves as the digital custodian for the fund’s stablecoin investments and connects institutional clients to the structure. Its platform can route client balances between stablecoins, cash accounts, and money market exposure while keeping them in a single regulatory framework. That alignment is meant to make it easier for issuers to comply with new laws without rebuilding their entire stack.
Regulators are pushing stablecoin issuers toward clearer, more transparent reserve practices under the GENIUS Act. Large asset managers and banks now see a chance to offer familiar traditional finance-style structures that still connect directly to blockchain rails. Money market-style reserve funds fit neatly into this shift.
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