TLDR
- IQMM invests only in cash and US Treasuries under 93 days
- ETF structured to meet GENIUS Act stablecoin reserve rules
- Fund trades on NYSE Arca with intraday liquidity
- Stablecoin market nears $300 billion in circulation
ProShares on February 19 launched the ProShares GENIUS Money Market ETF under the ticker IQMM. The fund is listed on NYSE Arca. It is structured to comply with the Guiding and Establishing National Innovation for U.S. Stablecoins Act, known as the GENIUS Act.
The GENIUS Act was signed into law in July 2025. The law requires stablecoin issuers to maintain one-to-one reserves in safe and liquid assets. Eligible reserves include cash and short-term United States Treasury securities. The law also sets standards for transparency and redemption rights.
JUST IN: @ProShares launches a GENIUS Act-compliant money market ETF (IQMM) designed to serve as a reserve vehicle for stablecoin issuers. pic.twitter.com/o0QVW7nQYY
— SolanaFloor (@SolanaFloor) February 19, 2026
ProShares stated that IQMM is designed to hold only assets that qualify as eligible reserves under the Act. The fund seeks to provide a ready solution for stablecoin issuers that must meet federal reserve requirements.
Fund structure and asset requirements
IQMM operates as a government money market ETF under Rule 2a-7 of the Investment Company Act. The rule governs liquidity, maturity, and credit quality standards for money market funds. The ETF invests in cash and United States government securities.
The GENIUS Act limits Treasury maturities to 93 days or less for reserve eligibility. IQMM follows this requirement by investing in short-dated Treasury bills, notes, and bonds. The fund may also use overnight repurchase agreements that meet the Act’s criteria.
The portfolio focuses on principal preservation and liquidity. By limiting maturities to about three months, the structure allows for faster access to cash. This aligns with daily redemption needs faced by stablecoin issuers.
Unlike traditional money market mutual funds, IQMM trades intraday on an exchange. Its net asset value is based on market value rather than amortized cost. The ETF also offers weekly distributions and same-day settlement features.
Stablecoin market growth and forecasts
The stablecoin market is approaching $300 billion in circulation, according to industry data. Tether’s USDT and Circle’s USDC account for the largest shares. The market has grown amid rising demand for digital dollar payments and trading liquidity.
Federal officials and banks have issued forecasts for future growth. Treasury Secretary Scott Bessent previously said the market could exceed $2 trillion by 2028. He later stated it could reach $3 trillion by 2030.
In a September report, Citi projected a base case of $1.9 trillion in stablecoin issuance by 2030. The bank outlined a higher scenario of $4 trillion. Standard Chartered projected about $2 trillion by the end of the decade.
Standard Chartered also estimated that up to $500 billion could shift from bank deposits into stablecoins by 2028. These projections follow the introduction of a federal framework under the GENIUS Act.
Regulatory framework and reserve management
The GENIUS Act established the first federal framework for dollar-backed stablecoins in the United States. It requires monthly attestations and full redemption rights for token holders. It also mandates compliance with anti-money laundering rules.
Stablecoin issuers must hold high-quality liquid assets that meet statutory criteria. This narrows reserve management options to short-term government paper and cash. IQMM is structured around these statutory limits.
ProShares described the ETF as an efficient reserve vehicle for issuers. Market participants have referred to it as an accessible solution for compliant reserve management. The launch marks the first ETF designed specifically to meet GENIUS Act reserve standards.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
