Morgan Stanley announces a stablecoin reserve fund.
The global investment bank and asset manager will be doubling down on stablecoins as it launches a new reserve fund for stablecoin issuers. This will be officially called Stablecoin Reserves Portfolio, part of their Morgan Stanley Institutional Liquidity Funds trust.
Head of Digital Asset Strategy Amy Oldenburg expressed:
Developing innovative ways to work with stablecoin issuers is another step towards modernizing the financial infrastructure and a key way to improve our institutional clients’ experience.”
In line with the Genius Act, funds will be held in short-term durated U.S. Treasuries and cash. In general, stablecoin reserve funds and similar financial product offerings are likely to be a very key service curated specifically for ensuring the liquidity of stablecoin issuers worldwide.
BNY Mellon had launched a stablecoin reserves fund a few months earlier to target the same group of clients.
