MetaMask Launches mUSD to Democratize On-Chain Money

MetaMask, the world’s leading self-custodial crypto wallet, has announced the launch of MetaMask USD ($mUSD), its first native stablecoin, marking a significant step into the rapidly expanding stablecoin market. The stablecoin, issued by Bridge—a Stripe company—and powered by the decentralized stablecoin infrastructure platform M0, is designed to offer a seamless and secure dollar-denominated stablecoin experience for MetaMask users. $mUSD will be backed 1:1 by U.S. cash and short-duration Treasuries, with real-time transparency and monthly public attestation of reserves, ensuring users can trust the asset’s backing.

The stablecoin will initially launch on Ethereum and Linea, a fully EVM-equivalent layer-2 network developed by Consensys. Its integration into the MetaMask ecosystem will enable users to perform on-ramps, swaps, transfers, and cross-chain bridging, with future support for spending through the MetaMask Card at millions of Mastercard merchants globally. The announcement comes as stablecoin adoption continues to grow, with the sector now valued at over $250 billion in total market capitalization. MetaMask expects $mUSD to play a foundational role in the expanding Linea DeFi ecosystem, offering deep liquidity and utility across lending markets, decentralized exchanges, and custodial platforms.

According to MetaMask’s product lead, Gal Eldar, the new stablecoin is a critical component in reducing the friction and costs associated with onboarding to self-custodial wallets. “With MetaMask USD, users can bring their money onchain, put it to work, spend it almost anywhere, and use it like money should be used,” he stated. The launch is also expected to unlock new product integrations, enhancing the user experience for individuals who regularly transact, hold, and lend value within the MetaMask wallet.

The development of $mUSD is supported by a partnership between Bridge and M0, combining Bridge’s compliance and reserve management expertise with M0’s blockchain infrastructure. This collaboration enables a streamlined and efficient process for custom stablecoin issuance, with development timelines previously spanning over a year now reduced to just a few weeks, according to Bridge’s CEO Zach Abrams. The M0-Bridge integration aims to provide a robust and flexible stablecoin stack, allowing builders like MetaMask to customize their digital dollar offerings while outsourcing the complexities of issuance and compliance.

The timing of the $mUSD launch aligns with the passage of the U.S. GENIUS Act, which introduced the first federal regulatory framework for payment stablecoins. The law, signed by President Donald Trump, establishes standards for who can issue stablecoins, how they must be backed, and the disclosures required. This regulatory clarity is seen as a major catalyst for increased innovation and adoption in the sector. Alongside MetaMask’s entry, other players, including Trump-backed DeFi protocols, have also begun minting their own stablecoins, further signaling a competitive and dynamic market.

Looking ahead, $mUSD is expected to expand its utility beyond DeFi and into real-world payments, with the MetaMask Card serving as a key enabler for everyday spending. The stablecoin’s design emphasizes cross-chain interoperability and composable use cases, positioning it as a versatile asset in both on-chain and off-chain transactions. As MetaMask continues to integrate $mUSD into its wallet and broader ecosystem, the project underscores the wallet’s broader vision of making web3 accessible, practical, and deeply integrated into daily financial activity.

Source: [1] MetaMask announces stablecoin, MetaMask USD (https://metamask.io/news/metamask-announces-stablecoin-metamask-usd) [2] MetaMask Joins Stablecoin Race With mUSD, Backed by ... (https://www.coindesk.com/business/2025/08/20/stripe-s-bridge-teams-up-with-m0-protocol-to-issue-stablecoins-starting-with-metamask-s-musd) [3] MetaMask Unveils mUSD Stablecoin - Unchained Crypto (https://unchainedcrypto.com/metamask-unveils-musd-stablecoin/) [4] MetaMask to roll out wallet-native mUSD dollar stablecoin (https://cointelegraph.com/news/metamask-musd-stablecoin-launch-ethereum-linea-2025) [5] MetaMask to Launch mUSD Stablecoin with Mastercard ... (https://coinpedia.org/crypto-live-news/metamask-to-launch-musd-stablecoin-with-mastercard-support/)