The Investment Company Institute's latest weekly "Money Market Fund Assets" report shows money fund assets surging higher by $50.5 billion to a record $7.365 trillion. MMFs rose $31.2 billion the prior week, after falling $19.5 billion two weeks prior. MMF assets are up by $902 billion, or 14.0%, over the past 52 weeks (through 10/1/25), with Institutional MMFs up $522 billion, or 13.5% and Retail MMFs up $400 billion, or 15.4%. Year-to-date, MMF assets are up by $515 billion, or 7.5%, with Institutional MMFs up $273 billion, or 6.6% and Retail MMFs up $262 billion, or 9.6%.
ICI's weekly release says, "Total money market fund assets increased by $50.55 billion to $7.37 trillion for the week ended Wednesday, October 1, the Investment Company Institute reported.... Among taxable money market funds, government funds increased by $54.64 billion and prime funds decreased by $6.58 billion. Tax-exempt money market funds increased by $2.49 billion." ICI's stats show Institutional MMFs increasing $33.3 billion and Retail MMFs increasing $17.2 billion in the latest week. Total Government MMF assets, including Treasury funds, were $6.018 trillion (81.7% of all money funds), while Total Prime MMFs were $1.208 trillion (16.4%). Tax Exempt MMFs totaled $139.4 billion (1.9%).
It explains, "Assets of retail money market funds increased by $17.22 billion to $2.98 trillion. Among retail funds, government money market fund assets increased by $12.82 billion to $1.87 trillion, prime money market fund assets increased by $2.83 billion to $978.23 billion, and tax-exempt fund assets increased by $1.58 billion to $125.82 billion." Retail assets account for 40.7% of the total, and Government Retail assets make up 62.9% of all Retail MMFs.
They add, "Assets of institutional money market funds increased by $33.32 billion to $4.39 trillion. Among institutional funds, government money market fund assets increased by $41.82 billion to $4.14 trillion, prime money market fund assets decreased by $9.41 billion to $229.73 billion, and tax-exempt fund assets increased by $912 million to $13.53 billion." Institutional assets accounted for 59.6% of all MMF assets, with Government Institutional assets making up 94.5% of all institutional MMF totals.
According to Crane Data's separate Money Fund Intelligence Daily series, money fund assets increased by $37.9 billion the first day in October to a record $7.746 trillion. Assets broke above $7.7 trillion for the first time on September 23 and have surged higher since (with a brief pause on Sept. 30). Assets increased by $105.2 billion in September, $132.0 billion in August, $63.7 billion in July, $6.7 billion in June and $100.9 billion in May. They fell by $24.4 billion in April, but rose $2.8 trillion in March, $94.2 billion in February and $52.8 billion in January. They jumped $110.9 billion in December, $200.5 billion in November, and $97.5 billion last October. Note that ICI's asset totals don't include a number of funds tracked by the SEC and Crane Data, so they're almost $400 billion lower than Crane's asset series.
In other news, a press release titled, "AlloyX Launches Tokenized Money Market Fund, Real Yield Token (RYT), on Polygon," tells us, "AlloyX, Asia's leading stablecoin service provider, has launched a compliant tokenized money market fund, Real Yield Token (RYT), exclusively on Polygon. RYT acts as a bridge between regulated liquidity and programmable finance. Users can tap into institutional-grade yield while unlocking the frictionless efficiency of DeFi. Yield generation and risk oversight finally move in sync."
It explains, "The launch adds momentum to Polygon's role as the preferred chain for global payments and tokenization. Long-term stability, low cost, and near-instant finality make Polygon stand out as financial markets pivot toward onchain settlement. RYT is designed for capital efficiency and extracting maximum yield. By looping -- supplying tokens as collateral, borrowing against them, and repeating -- users can amplify liquidity and returns while staying inside regulatory guardrails. On Polygon, those loops run with minimal fees and high throughput, maximizing both yield and onchain activity."
The statement says, "Hong Kong-based Standard Chartered Bank provides custody and acts as registrar. The fund operates on daily cycles with T+1 settlement, and selected data is published onchain for transparency. Institutional investors get the compliance and auditability they know and expect, paired with DeFi's speed and composability."
It adds, "AlloyX joins a growing roster of institutions and governments building financial applications and payment platforms on Polygon, including Stripe, Franklin Templeton, Apollo, BlackRock, and others reshaping markets through tokenization."
Reuters writes, "EU risk watchdog calls for urgent safeguards on stablecoins," which states, "The European Union's financial risk watchdog called on Thursday for urgent safeguards on stablecoins only partly issued in the bloc, echoing a warning from the European Central Bank, which is worried that their failure could induce a run on reserves. Stablecoins are a type of cryptocurrency designed to hold a steady value by being pegged to a reserve asset such as a currency or basket of assets."
The article explains, "The EU has put in place one of the world's strictest regimes on crypto assets but policymakers worry that issuers originating from outside the bloc enjoy easier regulation and could import financial risk. 'The General Board stressed that third country multi-issuer schemes -- with fungible stablecoins issued both in the EU and outside -- have built-in vulnerabilities which require an urgent policy response,' the European Systemic Risk Board, headed by ECB President Christine Lagarde, said in a statement."
It adds, "EU rules require stablecoins to be fully backed by reserves. Lagarde said the bloc should hold companies that issue stablecoins both in the EU and abroad to the same standards. In 'multi-issuer' schemes, an EU and a non-EU entity jointly issue stablecoins, and the strict EU regulation does not extend to the non-EU issuer, tilting the playing field."
