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ProShares’ GENIUS-Compliant Money Market ETF Sets $17 Billion Debut Record

Most of the day-one flows were internal cash shifts by ProShares funds.

Overview

  • CoinDesk reports that ProShares moved assets from its own ETFs into IQMM on launch day, including about $6 billion from the leveraged QTTT fund, countering speculation of an outside stablecoin deal.
  • IQMM is structured to meet the GENIUS Act’s reserve requirements, positioning it as an eligible vehicle for stablecoin issuers to hold short-duration U.S. government securities.
  • The debut dwarfed prior first-day ETF volumes, with Bloomberg noting BlackRock’s spot bitcoin ETF recorded about $1 billion on launch.
  • Fund mechanics include holdings of U.S. Treasuries and cash, a target dollar‑weighted average maturity of 60 days or less, twice‑daily NAV to support T+0 settlement, weekly distributions, and a 0.15% net expense ratio after waivers.
  • A recent SEC guideline reducing the capital haircut on payment stablecoins to 2% was welcomed by Circle’s CEO as supportive for integrating stablecoins into capital markets.