The new money market vehicle invests in cash, short-dated U.S. Treasuries and Treasury-backed overnight repos to align with the GENIUS Act's reserve and liquidity requirements for payment stablecoin issuers.
Federated Hermes has launched the Federated Hermes Money Market Management Digital Treasury Fund–Reserve Shares, trading on NASDAQ under the ticker OFFXX. The fund holds U.S. dollar cash, U.S. Treasuries maturing within 93 days, and overnight repos (short-term repurchase agreements) that are fully backed by U.S. Treasuries. The strategy is designed to satisfy the reserve and liquidity standards set out in the GENIUS Act for payment stablecoin issuers, highlighting how traditional asset managers are packaging short-duration government instruments for the digital-asset payments market.