BNY targets $1.5T stablecoin market with new Dreyfus reserves fund

Global financial services company BNY has launched a new money market fund, the BNY Dreyfus Stablecoin Reserves Fund (BSRXX), aimed at supporting institutional adoption within the digital asset liquidity market.

The new fund is structured to enable U.S. stablecoin issuers and other qualified institutional investors to hold reserves for stablecoins. Its design is aligned with the recently passed Guiding and Establishing National Innovation for U.S. Stablecoins ("GENIUS") Act. The company clarified that the fund does not invest in stablecoins.

The launch comes amid projections of significant growth in the stablecoin market, which analysis suggests could reach $1.5 trillion by 2030. This growth is anticipated to be spurred by the GENIUS Act's regulatory framework and increasing client adoption.

"Cash is the cornerstone of the digital asset ecosystem, enabling global capital markets to move toward an always-on, 24/7 environment," said Stephanie Pierce, Deputy Head of BNY Investments. "Stablecoins are at the forefront of this profound transformation, and we are proud to provide our liquidity leadership and expertise to stablecoin issuers with the launch of the BNY Dreyfus Stablecoin Reserves Fund."

As part of its debut, the fund has secured an initial investment from Anchorage Digital, the first federally chartered crypto bank in the U.S.

"Anchorage Digital is proud to provide the initial investment for this important initiative," stated Nathan McCauley, Co-Founder and CEO of Anchorage Digital. "BNY's leadership in liquidity and the GENIUS Act framework together mark a new chapter for stablecoin infrastructure in the U.S. As the first federally chartered crypto bank, we see efforts like this as essential to bridging the trust, transparency, and regulatory rigor that will define the next era of digital finance."

The GENIUS Act, enacted in July 2025, establishes a federal regulatory framework for U.S. stablecoins and specifies which assets are eligible to be held as reserves. The BNY Dreyfus Stablecoin Reserves Fund, a government money market fund, is positioned to be used by issuers for these reserves once the act becomes effective.

BNY Investments Dreyfus serves as the affiliated liquidity solutions provider for BNY. The company highlighted its existing footprint in the digital asset space, noting it provides fund services for over 80% of digital asset exchange-traded products in the U.S., Canada, and EMEA, and provides administration and custody for over 50% of tokenized fund assets globally.