Fidelity Launches $1 NAV GENIUS Act Money Market Fund for USDC Reserves
CRCL•Fidelity launched the $1 NAV Reserves Digital Fund (FYMXX) on June 15 as a GENIUS Act–compliant Rule 2a-7 money market fund charging 0.25% and requiring a $1M minimum. A notice confirms FYMXX may hold Circle’s USDC as its sole stablecoin reserve, underscoring USDC’s near-$75Bn market cap and rising institutional backing.
1. Fund Launch Under GENIUS Act
Fidelity launched the Reserves Digital Fund (FYMXX) on June 15 as a Rule 2a-7 money market fund structured to meet the GENIUS Act’s daily and weekly liquidity thresholds, targeting a $1 NAV, charging a 0.25% management fee and requiring a $1 million minimum investment.
2. USDC Reserve Authorization
A Federal Register notice confirms FYMXX may hold Circle’s USDC as its sole stablecoin reserve, reinforcing USDC’s near-$75Bn market cap and signaling strengthened institutional demand for the dollar-pegged token under the new regulatory framework.
3. Competitive Stablecoin Reserve Funds
Fidelity joins a cohort of asset managers including State Street, BlackRock, Goldman Sachs and BNY Mellon in launching GENIUS Act–compliant stablecoin reserve funds, highlighting growing competition to provide regulated infrastructure for stablecoin issuers.
