- MoneyGram has launched its own dollar-backed stablecoin called MGUSD.
- The stablecoin runs natively on the Stellar blockchain.
- MGUSD will initially launch in the U.S. before expanding globally.
- MoneyGram is joining a growing list of payment giants building proprietary stablecoin infrastructure.
MoneyGram Introduces Proprietary Stablecoin
MoneyGram has officially launched MGUSD, a new U.S. dollar-pegged stablecoin designed to power payments across its global network. The move places MoneyGram among a growing group of traditional financial firms developing their own blockchain-based payment infrastructure as stablecoins continue gaining traction worldwide.
The stablecoin operates natively on the Stellar blockchain and is intended to support MoneyGram's more than 60 million active customers. The company serves users across nearly 500,000 retail locations globally, making MGUSD one of the largest payment-focused stablecoin launches to date.
According to the announcement, Bridge, a Stripe-owned company, will act as the regulated issuer of MGUSD under the framework established by the GENIUS Act. Meanwhile, M0 provides the minting and burning infrastructure, while Fireblocks supplies custody services and wallet distribution technology.
Built on Years of Stablecoin Experience
The launch expands a partnership between MoneyGram and the Stellar Development Foundation that dates back more than five years. During that period, MoneyGram integrated stablecoin-powered transfers using Circle's USDC before deciding to launch its own token.
MoneyGram Chairman and CEO Anthony Soohoo described MGUSD as a stablecoin built specifically for remittances and financial inclusion. The company believes the token can lower costs and improve accessibility for users sending money across borders.
Stellar Development Foundation CEO Denelle Dixon called the launch another major milestone for blockchain-powered payments and highlighted Stellar's role in supporting real-world financial applications.
Stablecoin Competition Intensifies
MoneyGram has spent months building the infrastructure needed for the launch. The company partnered with Fireblocks for stablecoin settlements in late 2025 and recently expanded support for crypto-to-cash withdrawals through Kraken.
The move reflects a broader trend among established payment companies. Western Union recently announced plans for its own stablecoin initiative, while PayPal and Visa have both integrated stablecoin infrastructure into their payment ecosystems. As regulatory clarity improves, traditional financial firms appear increasingly willing to launch proprietary digital dollar products.
