MoneyGram has launched its own U.S. dollar backed stablecoin, MGUSD, on the Stellar blockchain, marking a major step in its effort to bring blockchain-powered payments and digital dollar services to customers worldwide.
Key Takeaways
- MoneyGram launched MGUSD, a U.S. dollar backed stablecoin, on the Stellar network.
- The stablecoin is integrated into the MoneyGram app, allowing users to hold and transfer digital dollars through self custodial wallets.
- Bridge, M0, Fireblocks, and Stellar provide the infrastructure supporting the new token.
- The company plans to expand MGUSD beyond the United States as it builds new financial services around stablecoins.
What Happened?
MoneyGram has officially launched MGUSD, a native U.S. dollar stablecoin designed to power services across its global payments network. The token is now available in the United States and is integrated directly into the company’s mobile application, giving customers the ability to hold digital dollars and move funds through MoneyGram’s network.
The launch places MoneyGram among a growing number of payment providers and financial firms embracing stablecoins as demand rises for faster and more efficient cross-border money transfers.
Introducing MGUSD.
— MoneyGram (@MoneyGram) June 2, 2026
MoneyGram’s native U.S. dollar stablecoin.
Natively issued on @StellarOrg.
Built with @Stablecoin, @M0 and @FireblocksHQ.
Live in the U.S. today. pic.twitter.com/GWW3XtNrf6
MoneyGram Expands Its Blockchain Payments Strategy
The introduction of MGUSD represents a significant milestone in MoneyGram’s broader blockchain strategy. Rather than offering stablecoins as a standalone product, the company is positioning MGUSD as a foundational layer for future financial services across its network.
MoneyGram said the stablecoin will serve families sending money across borders, individuals living in regions with currency instability, and people who have limited access to traditional banking services.
Customers using the MoneyGram app can maintain a stable dollar denominated balance in a self custodial wallet and access those funds around the clock. The company says users will also be able to move value globally and convert funds into local currencies when needed.
Anthony Soohoo, Chairman and CEO of MoneyGram, said:
Built on Stellar With Support From Key Partners
The launch of MGUSD is supported by a group of technology and infrastructure partners.
MoneyGram confirmed that Bridge, a Stripe company, serves as the regulated issuer of the stablecoin. The company described Bridge as a GENIUS Act ready issuer responsible for bringing MGUSD to market.
Meanwhile, M0 provides the smart contract infrastructure used to mint and redeem tokens, while Fireblocks supplies the wallet infrastructure that enables the secure movement of funds between MoneyGram and customer wallets.
MGUSD is initially being issued on the Stellar blockchain, extending a partnership between MoneyGram and the Stellar Development Foundation that has already delivered stablecoin powered remittance services over the past five years.
Denelle Dixon, CEO and Executive Director of the Stellar Development Foundation, said:
MoneyGram Sees Stablecoins as the Future of Money Movement
MoneyGram currently serves more than 60 million active customers through nearly 500,000 retail locations worldwide, with over 70% of transactions now taking place digitally.
The company believes stablecoins can improve how money moves across borders by offering faster settlement times, lower costs, and constant availability compared with traditional financial systems.
Luke Tuttle, Chief Product and Technology Officer at MoneyGram, explained how the company rebuilt key parts of its infrastructure to support digital dollars.
Stablecoin Competition Continues to Grow
MoneyGram’s launch comes as competition in the stablecoin sector continues to intensify.
According to a recent projection from Citigroup, the stablecoin market could expand from roughly $300 billion today to as much as $4 trillion by 2030.
Several financial firms have recently announced stablecoin initiatives. SoFi introduced its SoFiUSD stablecoin, while companies including PayPal and Western Union have partnered with digital asset infrastructure providers to develop their own stablecoin related services.
As adoption grows, MoneyGram is betting that its combination of global reach, regulatory experience, and blockchain infrastructure will help it play a larger role in the next generation of digital payments.
CoinLaw’s Takeaway
In my experience, many companies have launched stablecoin products, but few have the real world distribution network that MoneyGram already possesses. What stands out here is that MGUSD is not being presented as another crypto token looking for users. Instead, it is being integrated directly into a payments ecosystem that already serves tens of millions of customers.
I found the focus on remittances and financial access particularly important. If MoneyGram successfully expands MGUSD internationally, it could become one of the most practical examples of stablecoins being used for everyday money movement rather than speculation.
