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MoneyGram Launches MGUSD Stablecoin on Stellar Network

  • MoneyGram launched MGUSD, a dollar-backed stablecoin on Stellar, on June 2, 2026.
  • MGUSD is issued by Stripe’s Bridge with smart contracts from M0 and Fireblocks wallet.
  • A self-custodial wallet in the MoneyGram app lets users hold USD-denominated balances.

MoneyGram has launched its own digital currency, MGUSD, which is backed by the U.S. dollar and built on the Stellar blockchain.

This is an important change showing how traditional money transfer services are starting to explore and compete in the world of digital asset settlements.

This new digital token represents a major advancement in creating customizable money solutions for businesses.

MoneyGram Introduces Next-Gen Infrastructure

According to an announcement made on Tuesday, MGUSD works natively on the Stellar blockchain. 

Bridge, which is part of Stripe, is officially authorized to issue digital assets under the GENIUS Act. M0 handles the technical side of creating and canceling these assets using its smart contract system.

As a researcher, I’ve learned that Fireblocks handles the secure storage of MGUSD for MoneyGram. Essentially, MoneyGram keeps the digital currency within Fireblocks’ wallets before sending payments to users directly through the MoneyGram app.

Introducing MGUSD.MoneyGram’s native U.S. dollar stablecoin.

This digital asset was created directly on the Stellar network, utilizing stablecoin technology, M0, and Fireblocks infrastructure. It’s currently available for use in the United States.

— MoneyGram (@MoneyGram) June 2, 2026

Furthermore, the digital asset’s contracts are built to professional standards by M0, guaranteeing clear and open management of its reserves.

Fireblocks’ secure wallet system safeguards the entire token structure from potential security risks.

As a researcher studying financial institutions, I’ve found that this comprehensive solution really helps large liquidity providers stay compliant, operate smoothly, and maintain secure transactions. It’s designed to handle significant volumes effectively.

As a researcher, I can confirm this asset is designed to meet the demanding requirements of professional cryptocurrency traders. It’s built to perform at a high standard they expect.

Global Retail Scale Drives The Massive Rollout

The first commercial use of the MGUSD stablecoin will be for verified users in the United States. 

The company will quickly begin offering its services internationally, reaching a large number of shoppers who already buy products across borders.

The broad distribution strategy directly appeals to MoneyGram’s 60-million active users worldwide.

Plus, the service works with around 500,000 stores in over 200 countries around the globe.

The customer will use an intuitive self-custodial wallet within the native mobile app of the asset. 

This means people who regularly send money home can easily keep a stable, dollar-based balance digitally, without having to use separate cryptocurrency apps.

Strategic Realignment for MoneyGram Payments

This change signals a clear shift away from the company’s previous practice of using digital assets from other companies, such as USDC.

The firm is vertically integrating its cross-border settlement pipeline, with a proprietary token. 

This key step allows the payment company to bypass slow and outdated correspondent banking processes.

Because of this, the company eliminates its usual fees and speeds up payments, which typically take several days to process.

Payments sent across borders using the Stellar network are completed in seconds and cost very little to process.

This approach allows the company to make the most of its financial resources and fully benefit from every transaction.

In short, this update represents a major change in how established financial companies are starting to think about using digital versions of traditional money for internal transactions.

The company aims to lead the way in sending money digitally by using a wide-reaching retail network alongside secure blockchain technology.

Experts believe this new feature will encourage other established companies in the crypto space to start their own tokenization projects.

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2026-06-02 16:44