As Wall Street firmly adopts tokenisation as the route to attract the large institutions and crypto firms opting to hold their cash in stablecoins, asset management giants are jumping into the fray by launching new products to woo the next-generation investors. In this backdrop, BlackRock has filed for a new tokenised money-market fund and digital class of an existing fund.
As per the filing, the “BlackRock Daily Reinvestment Stablecoin Reserve Vehicle” will invest in cash, short-term US Treasury securities and overnight repurchase agreements secured by Treasuries. This, along with the digital class of existing funds, will have a minimum investment amount of USD 3 million.
When it comes to appealing to crypto-native investors, BlackRock faces steep competition, as in May 2026, State Street Investment Management too launched its “State Street Galaxy Onchain Liquidity Sweep Fund”, a tokenised cash-management product allowing large stablecoin holders to sweep their assets into an on-chain, yield-bearing asset.
“The firm aims to bridge traditional finance with the rapidly evolving digital asset ecosystem, bringing familiar, high-quality investment strategies into a format that aligns with how a growing cohort of investors hold and manage their capital on chain,” Kim Hochfeld, global head of cash, securities lending and digital assets at State Street, told ETF Upside.
“The firm’s first tokenised product represents an important milestone for State Street. It serves as a foundational step toward scaling a broader suite of on-chain investment solutions, positioning State Street at the forefront of the convergence between traditional asset management and blockchain-enabled finance,” she added further.
“The future of asset management will span both traditional and blockchain-based products, whether those are onchain or through more traditional vehicles like exchange-traded funds,” the senior official remarked.
State Street launched its fund on the Solana blockchain. It is now planning to integrate with Stellar and Ethereum. In the opinion of Gabriel Shahin, founder and CEO of Falcon Wealth, the move is a shift from institutional risk to architectural risk.
‘With a traditional treasury fund, you’re essentially trusting the “armoured truck”, meaning the infrastructure is slow, but it’s proven. State Street’s fund trades that for the speed of Solana. It’s like upgrading from a horse and buggy to an F1 car. The speed is incredible, but at 200 mph a technical glitch is instantaneous and irreversible,” he told The Daily Upside.