MoneyGram has introduced MGUSD — a stablecoin pegged to the US dollar. The plan is for it to become the foundation for a suite of financial services within the company's payment network. MGUSD is built directly into the MoneyGram app through a self-custody wallet, where users hold a dollar balance and manage it without intermediaries.
The launch took place on June 2 in the American market, after which the project is set to scale to other countries.
Who Stands Behind the Issuance
The technology stack for MGUSD is assembled from several partners. The regulated issuer is Bridge — a Stripe-owned entity prepared to meet the requirements of the GENIUS Act. Tokens are minted and burned through M0 smart contracts, and the asset itself is issued on the Stellar network. MoneyGram holds the MGUSD reserves in Fireblocks wallets, from which funds are distributed across customers' embedded wallets.
Who the Token Is Built For
MoneyGram has stated that it is aiming MGUSD not at crypto enthusiasts, but at people who move money across borders every day or live without access to local banking services.
“In countries with high inflation and unstable currencies, a dollar balance offers the ability to store funds, move them around the clock, and convert them into local money at any moment,” the press release states.