US stocks opened higher on Tuesday, with major indexes gaining and AI-related storage names outperforming, even as PayPal fell about 10% after disappointing earnings guidance.
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- Galaxy Digital and State Street Investment Management have launched the State Street Galaxy Onchain Liquidity Sweep Fund (SWEEP), a cash management token product aimed at providing 24/7 cross-chain liquidity.
- The fund allows institutional investors to subscribe and redeem using stablecoins while earning a return on the underlying traditional securities, initially on Solana with plans to expand to Ethereum and Stellar.
- Galaxy provides the tokenization infrastructure, Anchorage Digital is responsible for custody of the digital assets, and State Street manages the off-chain wallet, extending the institutional trend set by BlackRock’s BUIDL tokenized treasury fund.
according to CoinDeskState Street and Galaxy have launched SWEEP, a “tokenized private liquidity fund” designed to migrate traditional cash and liquidity management products to public blockchains.
SWEEP offers cross-chain cash management via Solana
State Street Investment Management will manage the underlying portfolio of short-term investment grade securities — functionally similar to a money market or liquidity fund — while Galaxy’s digital infrastructure will issue and manage Solana’s tokenized fund shares.
Signups and redemptions are processed using PayPal USD (PYUSD) stablecoins, allowing qualified investors to move capital into and out of the fund around the clock, subject to wallet availability, rather than being restricted by bank and market opening hours.
The product is expected to debut with a lead investment of approximately $200 million from Ondo Finance, which will use OUSG SWEEP’s tokenized treasury fund to further diversify its reserves and access additional on-chain liquidity options.
State Street Bank and Trust Company will serve as custodian of the fund’s traditional securities holdings, while Anchorage Digital will provide institutional-level custody of the digital tokens, completing what the partners describe as a full link between off-chain assets and on-chain representations.
Part of a broader boom in cash and treasury
SWEEP was initially released on Solana, which was chosen due to its high throughput and low transaction costs, with companies planning future deployments on Ethereum and Stellar to meet customers where their current on-chain activity resides.
A comment from Galaxy and State Street on LinkedIn portrays the fund as a way to “unleash the potential of 24/7 liquidity” by giving institutions a cash-like token that can be directly plugged into smart contracts, DeFi protocols, and cross-chain settlement flows.
The launch comes after the success of BlackRock Builds Tokenized US Treasury on Ethereum, each BUIDL token represents a $1 stake in a portfolio of Treasury bills and repos and offers an annualized yield of approximately 4.75% to 5.25% while remaining fully programmable as an ERC-20 asset.
Analysts tracking the sector note that tokenized treasury products topped $7 billion in assets in early 2026, with issuers such as BlackRock, Franklin Templeton and Ondo Finance driving most of the growth as institutions look to bring risk-free adjusted yield to on-chain portfolios.
Latest crypto news analysis He argued that SWEEP represents the “next phase” of this trend: Instead of just tokenizing Treasuries, it tokenizes the entire cash management envelope, allowing large investors to sweep dormant stablecoins into a liquidity pool managed by State Street without leaving the blockchain environment.
