TL;DR:
ProShares launched the ProShares GENIUS Money Market ETF, identified under the ticker IQMM, making it the first exchange-traded fund structured specifically as a reserve vehicle for stablecoin issuers operating under the GENIUS Act. The firm manages more than $95 billion in assets.
The GENIUS Act, signed into law in July 2025 under President Donald Trump, established the first comprehensive federal framework for payment stablecoins in the United States. The law requires that every dollar of stablecoins in circulation be backed by an equivalent dollar in high-quality liquid assets, such as cash or short-term Treasury securities. IQMM invests 100% of its assets in instruments that meet that standard: Treasury bills, Treasury notes, and overnight repurchase agreements, with maximum maturities of 93 days according to its prospectus.
The fund is organized under Rule 2a-7, which governs government money market funds, though it differs from traditional products in one key respect: rather than maintaining a fixed net asset value of $1.00, ProShares uses a market-based NAV calculated from the underlying securities. That structure aims to provide greater transparency, a critical requirement for stablecoin issuers obligated to submit accurate reserve certifications on a monthly basis.
Michael Sapir, CEO of ProShares, noted that the fund presents a more conservative approach to liquidity management than traditional money market standards require, within the format of an ETF. “History shows that investors gravitate toward vehicles that offer transparency, efficiency, and liquidity,” he said.
The ETF launch responds to the success of stablecoins. The combined market capitalization of USDT and USDC surpassed $250 billion and stablecoin transactions reached a record $33 trillion in 2025. Against that backdrop, Treasury Secretary Scott Bessent projects the market could reach $3 trillion by 2030, which would considerably expand demand for regulated reserve infrastructure.
ProShares distributes income weekly and charges an expense ratio of 0.15%. Its structure allows stablecoin issuers to delegate the management of their reserves to a regulated vehicle already designed for that purpose, rather than managing direct Treasury portfolios.
