BlackRock has repurposed a money market vehicle to serve dollar‑pegged token issuers with the BlackRock Select Treasury Based Liquidity Fund — blackrock stablecoin fund.
How does the blackrock treasury liquidity fund reshape reserve management?
What structural changes were made?
BlackRock renamed and restructured a money market vehicle that had been marketed as the BlackRock Liquid Federal Trust Fund. The fund now invests solely in short‑term US Treasury securities and overnight repurchase agreements to provide an ultra‑liquid, treasury‑only profile.
The company’s board approved the amendment and the changes have already taken effect. The shift targets clients that need regulatory‑safe reserve parking, notably stablecoin issuers and large institutional cash managers.
Tip: Review the fund’s prospectus before onboarding to confirm exposure and operational details.
In brief: The fund offers a streamlined treasury‑only option focused on liquidity and capital preservation for institutional counterparties.
What does this mean for the stablecoin reserve manager market?
How will money market fund stablecoins and cash management stablecoins blackrock interact?
The redesigned vehicle explicitly targets issuers seeking regulated reserve options and builds on existing partnerships. BlackRock already manages reserves for Circle’s USDC, and the BSTBL presents an institutional alternative to bespoke custody and reserve arrangements. CNBC coverage
Jon Steel, BlackRock’s global head of product and platform for cash management, told CNBC the firm aims to be a “preeminent reserve manager” for stablecoin issuers. Treasury‑only vehicles can cut mark‑to‑market volatility and improve auditability.
Extended trading hours and overnight repo exposure may reduce intraday liquidity drag and lower custody costs. However, issuers should model concentration risk and set counterparty limits and redemption stress tests.
Note: BlackRock leverages prior reserve relationships while responding to issuer demand for regulated, yield‑bearing alternatives. See stablecoin reserve management strategies for context.
In brief: The fund reinforces BlackRock’s role as a provider of institutional reserve services to the stablecoin sector.
Will the treasury based liquidity fund attract regulated stablecoin reserve options?
What are the fees, trading hours and operational terms?
The summary prospectus discloses a 0.21% management fee, a 0.10% shareholder servicing fee and total expenses of 0.27% after waivers. A fee waiver agreement runs through June 30, 2026.
Trading hours extend to 5:00 pm Eastern with later valuation times to suit institutional workflows. Prospectus
As stablecoin issuance scales, many issuers may prefer treasury‑only solutions for regulatory clarity and liquidity. BlackRock’s scale — the company is a $13.5 trillion asset manager — could make the fund a go‑to option for corporates and issuers evaluating reserve providers.
Learn more about BlackRock’s product features and benefits on our site: BlackRock’s treasury liquidity fund.
Tip: Compare fees and operational windows across providers; a short review of money market funds for stablecoins can help.
In brief: The BSTBL pairs strict Treasury exposure, extended operations and disclosed fees to appeal to issuers seeking regulated, liquid reserve alternatives.