Stablecoin reserve management is no longer a one-man show for BlackRock. State Street launches a money market fund compliant with the GENIUS Act, directly targeting the reserve asset needs of stablecoin issuers.

Behind this are two logics: first, after the regulatory framework is implemented, compliant reserve custody becomes a necessity; whoever secures a bank-grade product first can lock in the issuer; second, traditional asset management giants see stablecoins as the next trillion-dollar cash management market, with competition spreading from ETFs to money market funds.
For the crypto market, this means that the credit backing of stablecoins is shifting from purely on-chain collateral to traditional financial instruments. Transparency of reserve assets and yields will influence the adoption scale of stablecoins, but it also introduces new systemic risks—if the underlying money market fund faces a bank run, the de-pegging pressure on stablecoins could instantly amplify.
Readers should be cautious: compliance does not equal safety. Money market funds under the GENIUS Act may still face liquidity mismatches, and stablecoin issuers concentrating reserves in a single bank is itself a new single point of failure.
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