State Street and Galaxy to Launch Tokenized Liquidity Fund on Solana in 2026
State Street and Galaxy Asset Management announced plans to launch the SWEEP tokenized liquidity fund in early 2026. The fund will initially operate on the Solana blockchain and accept subscriptions and redemptions in PYUSD, PayPal's stablecoin, with on-hand assets required to process requests. Access to the fund will be limited to Qualified Purchasers.
Ondo Finance has committed approximately $200 million to seed the product. Following its launch on Solana, the fund is expected to expand to other blockchains, including Stellar and Ethereum. Galaxy plans to utilize Chainlink tools to facilitate data and asset transfers across multiple chains.
The SWEEP fund aims to serve institutional investors seeking cash-like on-chain assets while maintaining the liquidity characteristics of traditional sweep products. Kim Hochfeld of State Street emphasized that the partnership with Galaxy advances the evolution of the traditional finance on-chain landscape. Ian De Bode from Ondo Finance described tokenization as the connective tissue between traditional and on-chain markets and called SWEEP a major leap forward.
This initiative builds on prior collaborations between the firms, including digital-asset ETFs launched in 2024.
