MoneyGram launches stablecoin on Stellar, joining rush toward digital dollar payments
Key takeaways
- The stablecoin, dubbed MGUSD, will be embedded into the MoneyGram app, allowing customers to hold a dollar-denominated balance in a self-custodial wallet and transfer funds through the company's global payments network.
- The product debuted Tuesday in the U.S. with plans for a broader international rollout, the firm said.
- MoneyGram's move comes as stablecoins have become one of crypto's fastest-growing sectors, drawing interest from banks, fintech firms and payment providers looking to revamp cross-border payments using blockchain rails.
The stablecoin, dubbed MGUSD, will be embedded into the MoneyGram app, allowing customers to hold a dollar-denominated balance in a self-custodial wallet and transfer funds through the company's global payments network.
The product debuted Tuesday in the U.S. with plans for a broader international rollout, the firm said.
MoneyGram's move comes as stablecoins have become one of crypto's fastest-growing sectors, drawing interest from banks, fintech firms and payment providers looking to revamp cross-border payments using blockchain rails. These tokens, with prices tied to fiat currencies like the U.S. dollar, could offer cheaper, faster and around-the-clock settlements than traditional banking rails, making them increasingly popular for remittances. Their market size could reach $4 trillion by 2030 from the current $300 billion, global bank Citi projected.