Invesco has filed with the U.S. Securities and Exchange Commission to launch a blockchain-based money market fund designed for stablecoin reserves, signaling continued momentum in the tokenization of traditional financial assets.
Invesco targets stablecoin reserve market
The proposed Invesco Stablecoin Reserves Onchain Fund, submitted on June 24, is structured under the firm’s Short-Term Investments Trust and is expected to become effective about 60 days after filing. The fund will primarily allocate capital to short-term U.S. Treasuries, repurchase agreements, and cash equivalents, aiming to maintain a stable $1 net asset value.
Invesco, which managed $2.45 trillion in assets as of May 31, is positioning the product to meet growing demand for compliant, yield-generating reserve options within the stablecoin sector.
Blockchain infrastructure and tokenized shares
The fund will rely on blockchain infrastructure firm Superstate as its sub-transfer agent to tokenize shares. These shares will be recorded on selected public blockchains, though Invesco has not specified which networks will be used.
Superstate has previously supported tokenized fund shares on Ethereum and Solana. The filing referenced operational risks associated with Ethereum, while Solana was not explicitly mentioned.
Regulatory framework under GENIUS act
The vehicle is designed to operate under the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, enacted last year. The legislation defines which assets can back stablecoins and sets requirements for liquidity and transparency.
Structured under Rule 2a-7, the fund will function as a government money market fund tailored to stablecoin issuers seeking regulated reserve solutions.
Competition intensifies among major financial firms
Invesco’s move adds to a growing field of tokenized money market products launched by major institutions including State Street, BlackRock, Morgan Stanley, BNY Mellon, JPMorgan, and Goldman Sachs.
State Street introduced a GENIUS-compliant fund last week. BlackRock’s BUIDL fund has already reached about $2.5 billion in assets under management, while Franklin Templeton’s BENJI products hold close to $2 billion. Both maintain a constant $1 net asset value but are not exclusively designed for stablecoin issuers.
Rapid growth in tokenized Treasury market
The broader market for tokenized U.S. Treasuries has expanded sharply, rising from just over $1 billion in early 2024 to around $16 billion by May 2026. The growth reflects strong demand for blockchain-based access to high-quality liquid assets.
Key signals for traders and market impact
Several factors could shape how this market develops:
- the choice of blockchain networks, which may direct liquidity and ecosystem growth
- shifts in stablecoin reserve allocations toward regulated, yield-bearing instruments
- increasing transparency and risk standardization for stablecoins
A decision by a firm of Invesco’s size on which blockchain to use could significantly influence liquidity flows and development activity within that ecosystem.
Tokenization moves into core financial strategy
The filing underscores a broader shift as large financial institutions integrate blockchain infrastructure into traditional asset management. With regulatory clarity improving under the GENIUS Act, tokenized real-world assets are moving beyond experimentation and becoming embedded in mainstream financial strategy.
Market participants are also likely to watch infrastructure providers such as Superstate, which play a central role in connecting regulated financial products with public blockchain networks.
For deeper context on stablecoin regulation shaping funds like Invesco’s, explore our analysis of the GENIUS Act’s impact.
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