State Street Investment Management and Galaxy Asset Management have introduced the State Street Galaxy Onchain Liquidity Sweep Fund (SWEEP), a tokenized private liquidity fund designed to facilitate 24/7 onchain cash management through stablecoin, contingent on stablecoin availability within the fund’s portfolio.
This launch marks a step in State Street’s digital strategy to offer investment solutions directly onchain, supporting round-the-clock programmatic trading and liquidity for cash management. State Street aims to bridge traditional institutional finance with decentralized finance (DeFi) by investing in digital asset capabilities spanning investment management and custody. The company manages over $5 trillion in assets.
SWEEP leverages Galaxy’s Digital Infrastructure, which provides the tokenization technology and digital infrastructure necessary for the issuance and management of SWEEP tokens. The fund is structured to enable stablecoin holders to convert their stablecoins into a yield-bearing asset.
Initially launched on the Solana blockchain, SWEEP plans to integrate with additional blockchains, including Stellar and Ethereum. Key service providers for the fund include Anchorage, which serves as the digital custodian for stablecoin investments, and NAV Consulting, which acts as the transfer agent. State Street Bank and Trust Company functions as the custodian for securities holdings. Galaxy utilizes Chainlink NAVLink for publishing the fund’s daily Net Asset Value (NAV) onchain and Chainlink CCIP for secure cross-chain interoperability.
Announced in December 2025, SWEEP allows investors to use PayPal USD (PYUSD) stablecoins for subscriptions and redemptions, subject to portfolio availability. The fund is accessible to Qualified Purchasers who meet specific eligibility criteria and minimum investment thresholds.
Yie-Hsin Hung, president and chief executive officer of State Street Investment Management, stated, “State Street has played a leading role in market innovation for decades, from servicing mutual funds to launching ETFs, and we’re proud to continue that role as digital assets reshape market infrastructure. This fund allows us to bring the TradFi landscape onchain in a resilient way, guided by our long-standing focus on innovation, risk management and client outcomes.”
Mike Novogratz, founder and CEO of Galaxy, commented, “For years we’ve argued that traditional finance and crypto would converge on the same rails. We believe SWEEP is what that looks like in practice, with a fund managed by an experienced cash manager being available for investors onchain, on infrastructure Galaxy built for institutions.”
The introduction of SWEEP deepens the collaboration between State Street Investment Management and Galaxy, following the September 2024 launch of three actively managed ETFs sub-advised by Galaxy, which focus on digital assets and disruptive technologies.
