Invesco, the asset manager with $2.45 trillion under management, has submitted an application to the U.S. SEC for a new mutual fund worth $700 million that would specifically serve stablecoin issuers' reserve requirements. The filing makes clear that the fund will not hold stablecoins directly. Instead, it will invest in highly liquid, high-quality U.S. dollar-denominated assets such as U.S. Treasuries, repurchase agreements, and cash equivalents, aiming to maintain a stable $1 net asset value and comply with reserve rules outlined in the GENIUS Act framework.
Fund Mechanics: No Stablecoins, Only Treasuries and Cash
The application, which does not yet assign a trading symbol, could become effective within roughly 60 days if the SEC raises no objections. The portfolio is designed to meet the reserve needs of stablecoin issuers through traditional fixed-income instruments. Invesco explicitly states that the fund will not directly own stablecoins, but will back reserve requirements indirectly via top-tier dollar assets.
Onchain Records Meet Off-Chain Custody: Superstate Handles Tokenization
While underlying assets remain in traditional custody, fund share ownership will be recorded on approved public blockchains via Superstate Services as subtransfer agent. Only verified wallets will be able to transact shares onchain, enabling faster settlement without stepping outside regulated investment frameworks. The legacy off-chain recordkeeping system is preserved, creating a dual-record approach that offers institutional users both blockchain efficiency and legal safeguards.
Deepening Ties with Superstate
Earlier this year, Invesco took over daily administration of Superstate's USTB tokenized U.S. Treasury fund, also worth $700 million. The latest filing marks a further step in their collaboration. Invesco's move underscores growing institutional appetite for compliant stablecoin reserve infrastructure. Major banks and asset managers including State Street, BlackRock, Morgan Stanley, BNY, JPMorgan, and Goldman Sachs have already launched or are developing similar products, signaling a competitive race in the sector.
SEC Approval Could Open New Reserve Fund Track
If approved, the fund could pave the way for other asset managers to create their own reserve funds, giving stablecoin issuers a broader range of regulated reserve management options. The product is designed from the outset to align with the transparency requirements of the U.S. GENIUS Act, embedding compliance into its core structure.