Fidelity Investments announced the launch of the Fidelity Reserves Digital Fund on 18 June 2026, a money‑market vehicle aimed at stablecoin issuers and institutional investors that must keep compliant reserves.
Fund Structure and Investment Strategy
The fund allocates capital to U.S. Treasury bills, notes and bonds that mature within 93 days, ensuring high liquidity and minimal credit risk. It also holds cash, overnight repurchase agreements secured by Treasuries, and positions in other government‑approved money‑market funds. The expense ratio stands at 0.18%, and the fund targets a stable share price of $1.00.
Regulatory Alignment and Market Outlook
Built around the reserve requirements of the GENIUS Act—federal legislation enacted in 2025—this product gives stablecoin issuers a regulated channel for backing their tokens. Fidelity expects the majority of assets to flow from issuers that need to demonstrate transparent, compliant reserves to their crypto investors. The firm has hinted at future share classes that could use blockchain technology to record ownership, further integrating traditional finance with digital asset ecosystems.
“Fidelity has a longstanding history in fixed income and money markets, making us uniquely positioned to offer a money market fund for stablecoin issuers that is compliant with the new GENIUS‑Act legislation,” said Robin Foley, Head of Fixed Income at Fidelity, on 18 June 2026.