BlackRock Launches Treasury Fund For Stablecoin Reserves Compliance

• Lyla Velez
• October 19, 2025
• Policy
• 0 Comments

BlackRock has introduced the BlackRock Select Treasury Based Liquidity Fund (BSTBL), designed to comply with the US GENIUS Act and support stablecoin reserve demands. This fund provides a regulated, Treasury-backed reserve management solution for stablecoin issuers.

BlackRock’s BSTBL fund signifies a critical advancement in integrating traditional finance with digital assets. The fund aims to address rising demands for compliant reserve management, setting a new standard under federal guidelines. EdgenTech: Innovations in Technology and Blockchain Solutions

BlackRock, led by CEO Larry Fink, has launched the BSTBL money market fund, guided by Jon Steel. This fund aims to provide compliant reserve solutions amid increasing demand from stablecoin issuers. The launch strengthens BlackRock’s presence in digital payments.

“We’re seeing increasing demand from stablecoin issuers and clients seeking innovative, compliant reserve management solutions. Our BSTBL money market fund builds on our history of innovation through products and marks an exciting new chapter for our cash management business. We’re thrilled to deliver a fund that meets the evolving needs of our clients and we believe it positions BlackRock as one of the reserve asset managers of choice for the digital payments ecosystem.” — Jon Steel, Global Head of Product and Platform, Cash Management, BlackRock.

The fund underscores BlackRock’s strategy to support stablecoin issuers in aligning with GENIUS Act standards. Treasury-backed reserves are provided through the fund, with management fees at 0.27% until June 2026. Existing partnerships, notably with Circle, bolster its market influence. The Daily Hodl: Latest Cryptocurrency News and Analysis

Immediate effects include providing regulated liquidity for stablecoin issuers, enhancing market trust in BlackRock’s reserve management. The fund aims to attract institutional clients seeking innovative financial solutions, strengthening its role in the stablecoin sector.

The launch of the BSTBL fund is expected to drive significant changes across affected assets and institutions. Stablecoins like USDC and USDtb may benefit from regulatory compliance. Experts forecast potential stablecoin issuance growth, influenced by BlackRock’s move.

Potential outcomes include enhanced liquidity, regulatory compliance, and integration with digital payment systems, supported by historical trends and institutional forecasts. Stablecoin issuance could reach $2 trillion by 2028, driven by market demands and regulatory clarity. KuCoin: Leading Cryptocurrency Exchange for Trading and Investing