Coinbase Buys ProShares GENIUS Money Market ETF

Coinbase announced on June 2 that it invested in ProShares’ GENIUS Money Market ETF (IQMM) to align its stablecoin reserves with the GENIUS Act requirement that payment stablecoins be backed 1-to-1.

IQMM is built around short-term U.S. Treasury bills with maturities of 93 days or less, cash and cash equivalents. ProShares describes the fund as the world’s largest money market ETF and the first created to meet GENIUS Act reserve eligibility standards. As of March 31, 2026, the fund reported a 30-day SEC yield of 3.48%, offered weekly distributions and carried a 0.15% net expense ratio. ProShares’ materials show holdings concentrated in Treasury bills and state the fund maintains 100% daily and weekly liquid assets.

Coinbase said the fund provides a cash-management option for stablecoin issuers because payment stablecoins are becoming more integrated into financial infrastructure.

The company described the purchase as part of a broader stablecoin strategy that includes payments, distribution and developer tools. Coinbase expects creation and redemption activity tied to stablecoins to use a broader mix of cash-like instruments in future, including Treasury bills, ETFs, money market funds and tokenized equivalents.

The GENIUS Act passed the Senate on June 17, 2025, the House on July 17, 2025, and was signed into law on July 18, 2025. The law establishes a federal framework for payment stablecoins and requires issuers that operate as payment stablecoins to hold assets that back redemptions on a 1-to-1 basis. Regulators and market participants have focused on reserve liquidity, transparency and reliable redemption mechanisms.

ProShares brings ETF structuring experience to the sector. IQMM offers an ETF-based vehicle tied to short-duration government debt and high daily and weekly liquidity, giving digital-asset firms an option to hold reserve assets in a market-traded product.