Galaxy Deepens Solana Push With Plans To Launch Tokenized Liquidity Fund With State Street In 2026

• The SWEEP fund will use PayPal’s stablecoin PYUSD for around-the-clock subscription and redemption.
• Ondo Finance will provide a $200 million seed allocation to support early fund liquidity.
• Chainlink will provide cross-chain connectivity when the fund expands beyond Solana.

Galaxy Digital (GLXY) announced on Thursday that it’s teaming up with State Street to create a new tokenized private liquidity fund on Solana (SOL) called SWEEP in 2026.

“This is taking the institutions that have existed for the last 50 years and moving them on-chain,” said Michael Marcantonio, the Head of DeFi at Galaxy, during Solana’s Breakpoint 2025 event in Abu Dhabi.

State Street Partnership Extends Into On-Chain Liquidity

Not only is the announcement another layer of integration between Solana and Galaxy, but the launch also extends the partnership between State Street and Galaxy, which previously rolled out three digital-asset-focused ETFs in 2024.

GLXY’s stock was down over 2% in pre-market trade amid weakness in the broader market. On Stocktwits, retail sentiment around the company, however, improved to ‘bullish’ from ‘neutral’ territory over the past day, accompanied by ‘high’ levels of chatter.

Meanwhile, Solana’s price tumbled more than 5% in the last 24 hours, trading at around $130 at the time of writing. Retail sentiment around the altcoin on Stocktwits remained in the ‘bullish’ zone over the past day.

Galaxy’s Broader Solana Footprint

Galaxy was the first Nasdaq-listed public equity to be tokenized on Solana. Marcantonio said the firm is expanding its prime brokerage offering on-chain with Solana and operates two of the largest validators on the Solana network. 

Earlier this year, Galaxy also sponsored Forward Industries (FWDI), which runs the largest Solana digital asset treasury (DAT).

What Is The SWEEP Fund?

Galaxy said that the State Street Galaxy Onchain Liquidity Sweep Fund (SWEEP) will allow qualified investors to put cash into a fund whose shares are tokenized on a blockchain. 

Investors will be able to subscribe and redeem around the clock using PayPal’s (PYPL) stablecoin, PayPal USD (PYUSD). Ondo Finance (ONDO) plans to seed the fund with about $200 million to help launch it.

PayPal’s stock was down 1.8% in pre-market trade, with retail sentiment on Stocktwits around the company dipping to ‘extremely bearish’ from ‘bearish’ territory over the past day. Retail sentiment around PYUSD remained in ‘neutral’ territory.

ONDO’s price was also in the red, down 6.4% in the last 24 hours. However, retail sentiment on Stocktwits trended in ‘bullish’ territory over the past day.

The fund is expected to go live on the Solana blockchain in early 2026, with future expansion to Stellar (XLM) and Ethereum (ETH). Chainlink (LINK) will help the fund move assets between chains.

Read also: Coinbase Announces DEX Trading On Solana – Users Can Now Trade Unlisted SPL Tokens

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Share

·

Add us on