Invesco’s move is another sign that asset managers are increasingly seeking a new business opportunity created by stablecoins. These cryptocurrencies are designed to maintain a fixed value, usually linked to a US dollar, and are backed by reserve assets such as cash and short-term Treasury bills. As emissions increase, so does the demand for companies that can manage these reserves.
Citigroup predicts that the stablecoin market could reach $4 trillion by 2030, up from around $300 billion today, creating a potentially lucrative market for money managers.
BlackRock, State Street and ProShares have also filed to launch funds intended to serve as stablecoin reserve vehicles, reflecting intensifying competition to provide the infrastructure behind digital dollars.
The filing also builds on Invesco’s broader tokenization strategy. Earlier this year, the company took over management of Superstate’s approximately $900 million tokenized treasury fund, becoming the first third-party asset manager to use Superstate’s blockchain-based FundOS platform.
The move placed Invesco alongside firms such as BlackRock, Franklin Templeton and Fidelity that have embraced tokenized money market funds as a way to modernize the way traditional assets are issued, transferred and settled using blockchain rails.
