MoneyGram has launched MGUSD, a U.S. dollar-denominated stablecoin issued natively on Stellar and designed to support the company’s expanding blockchain-based payments infrastructure. The Dallas-based payments firm said MGUSD will be integrated into the MoneyGram app through a self-custodial wallet, beginning in the U.S. market before a planned global rollout.
MoneyGram Brings MGUSD Stablecoin to Stellar
MoneyGram said MGUSD will serve as the foundation for a broader suite of financial services across its global network, positioning the token as infrastructure for cross-border payments, digital balances and local currency conversion. The company framed the launch as part of a wider effort to build blockchain rails into its existing remittance and payments business, rather than as a standalone crypto product aimed primarily at digital asset traders.
The stablecoin is supported by several infrastructure partners. Bridge, a Stripe company, is acting as the regulated, GENIUS Act-ready issuer, while M0 provides the smart contract infrastructure used to mint and burn MGUSD. The token is deployed on Stellar at launch, and MoneyGram said it will hold MGUSD in Fireblocks wallets before sending tokens to customer wallets embedded in the MoneyGram app.
Anthony Soohoo, chairman and CEO of MoneyGram, said the company is approaching stablecoins through distribution and utility rather than asset issuance alone. “The stablecoin market has largely focused on the asset itself. MoneyGram is taking a fundamentally different approach. Starting with our distribution platform, we’re using stablecoin as a foundation to build future applications on our global network.” He added: “MGUSD is the stablecoin we built for our customers, for the families sending money home and for the billions of people around the world with limited financial access.”
Stellar Powers MoneyGram’s New Dollar Token
The launch extends MoneyGram’s existing work with the Stellar Development Foundation, which has focused on stablecoin-enabled money movement and access between digital wallets and physical cash networks. MoneyGram said MGUSD represents a deeper phase of that partnership, moving into native issuance, balance infrastructure and wider ecosystem utility on Stellar.
Denelle Dixon, CEO and executive director of the Stellar Development Foundation, described the project as a continuation of Stellar’s focus on payments infrastructure. “Stellar was built for real-world utility at institutional scale. Our five-year partnership with MoneyGram is proof that stablecoins have moved well beyond pilots. Together, we’ve expanded financial access to millions of families and communities who need it most.” Dixon said MGUSD is “the next milestone” in showing how a purpose-built blockchain can work with an established payments network.
MoneyGram brings significant distribution to the rollout. The company serves more than 60 million active customers through nearly 500,000 retail locations, with more than 70% of transactions now digital. Luke Tuttle, MoneyGram’s chief product and technology officer, said the firm rebuilt its core infrastructure so “a digital dollar could move through it as naturally as cash moves through our agent network. That meant re-architecting issuance, orchestration and settlement. MGUSD enables MoneyGram’s monetary layer to run on stablecoin rails by design.”
MGUSD gives MoneyGram a proprietary dollar token on Stellar at a time when payment firms are increasingly looking to stablecoins as settlement and balance infrastructure. The initial U.S. launch will test how directly a major remittance network can integrate self-custodial digital dollars into consumer-facing money movement, with the company signaling plans to expand the product globally.
AI Transparency Note: This article was prepared with the assistance of an AI system based on the sources listed and was reviewed, edited, and approved by a human editor before publication. All quotes, data points, and factual claims are intended to be grounded in the cited source material; however, errors cannot be ruled out entirely.
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