Federated MMR Digital Treasury Fund
A press release titled, "Federated Hermes launches its first fund designed for compliance with the GENIUS Act," tells us, "Federated Hermes (FHI) ... introduced Federated Hermes Money Market Management Digital Treasury Fund–Reserve Shares (OFFXX). Federated Hermes Money Market Management Digital Treasury Fund seeks to provide current income consistent with stability of principal by investing in a portfolio of US dollar cash and US Treasury investments that mature within 93 days and overnight repurchase agreements fully collateralized by US Treasury securities. In pursuing its investment objective and implementing its investment strategies, the fund intends to comply with Rule 2a-7 under the Investment Company Act of 1940." It explains, "The fund is Federated Hermes' first product designed to satisfy the requirements for eligible reserve assets that payment-stablecoin issuers are required to maintain under the Guiding and Establishing National Innovation for US Stablecoins Act, or GENIUS Act, which was passed in July 2025. The Act provides a regulatory framework for stablecoins, a type of digital asset, to be backed by high-quality liquid assets on a 1:1 basis. While the fund itself does not employ blockchain technology with respect to the Reserve Shares, fund shares are expected to be used primarily by participants in the broader blockchain ecosystem. Reserve Shares of the fund may be purchased and held by individuals, payment-stablecoin issuers, and institutional investors directly or through intermediaries, including intermediaries that use blockchain technology to maintain a record of share ownership for their customers. In the future, the fund may seek to employ blockchain technology to maintain a record of share ownership with respect to the Reserve Shares or additional share classes." The release continues, "For more than 50 years, Federated Hermes has been a leader in money market innovation, launching the first fund to include 'money market' in its name in 1974. Drawing on that experience, the fund is managed by Susan Hill, CFA, senior portfolio manager and head of government liquidity group, and John Wyda, CFA, senior portfolio manager and senior investment analyst. The firm manages a record $684.7 billion in money market assets as of March 31, 2026." Paul Uhlman, president and chief executive officer of the Federated Advisory Companies, comments, "Liquidity management is a core business of Federated Hermes and we offer one of the largest menus of targeted solutions. Federated Hermes is proud to advance strategic initiatives that bring together the strength of money market investments and our management expertise. As the industry continues to explore the digital space and tokenized money market offerings, we continue to vet opportunities that employ the efficiency and transparency of blockchain technology." For more on Stablecoin Reserve funds, see these Crane Data News stories: "BNY Files for Dreyfus On-Chain Liquidity Fund for Stablecoin Reserves" (5/22/26), "Fidelity Files for Reserves Digital Fund, 5th Stablecoin Reserve MMF" (3/23/26), "Dec. MFI: MMFs Hit $8.0T, Top 10; JPM '26 Outlook; Stablecoin Reserves" (12/5/25), "State Street Files for Stablecoin Reserves MMF; BNY's Stephanie Pierce" (11/19/25), "BNY Stablecoin Reserves Goes Live; ICI: Assets Eke Out Record $7.5T" (11/14/25),"BNY's Vince on Q3 Call: Money Market Evolution, Dreyfus, Stablecoins" (10/22/25), "BlackRock Breaks $1 Trillion in Money Funds; Offers Stablecoin Reserve" (10/17/25), "Sept. MFI: Assets Break $7.6T; Stablecoin Reserves; JPM on Offshore MFs" (9/8/25), "BNY Dreyfus to Launch Stablecoin Reserves Fund; Joins Goldman, Circle" (8/20) and "Goldman Files to Launch Stablecoin Reserves Fund; Circle Q2 Earnings" (8/13/25).
