MetaMask Introduces mUSD Stablecoin With Stripe Support

MetaMask, the world’s most widely used self-custodial crypto wallet, is preparing to launch a dollar-pegged stablecoin called mUSD, marking the company’s first step into digital payments and settlement infrastructure.

The new token, expected to debut later this year, will be issued by Bridge, a Stripe-owned entity, and fully backed by dollar-equivalent reserves in accordance with the GENIUS Act, a federal law signed last month that sets new compliance standards for stablecoin issuers.

At launch, mUSD will be available within the MetaMask wallet on both Ethereum and Linea, Consensys’ layer-2 blockchain. By the end of the year, MetaMask plans to extend its use to the company’s Mastercard-powered debit card, enabling customers to spend crypto-linked funds directly in retail transactions.

Key launch details:

• mUSD will be issued by Bridge (a Stripe subsidiary), not by MetaMask directly.

• The stablecoin will be available on Ethereum and Linea from the outset.

• Debit card integration is scheduled before the end of 2025.

• Reserves will be held in dollar-equivalent assets under GENIUS Act compliance.

Ajay Mittal, Vice President of Product Strategy at MetaMask, said the stablecoin is designed to act as a “liquidity layer” across both MetaMask’s ecosystem and the broader decentralized finance (DeFi) sector. He noted that tighter integration within the wallet gives mUSD an advantage over competing stablecoins that often require external services or fragmented platforms.

Unlike rival issuers such as PayPal and Coinbase, MetaMask confirmed that mUSD will not initially offer users direct yields on deposits, as prohibited under the new law. However, Mittal suggested the token could feature in incentive programs or partnerships in the future.

Stablecoins have become a cornerstone of the cryptocurrency economy, facilitating payments, trading, and on-chain settlements. The U.S. market has seen rapid regulatory and commercial developments in recent months. PayPal, Coinbase, and Circle have all pushed aggressively into the sector, while banks and payment processors remain cautious amid lobbying battles in Washington.

MetaMask said mUSD will be embedded directly within its wallet, enabling users to convert cryptocurrencies into a dollar-pegged token and use it across Ethereum, Linea, and the forthcoming MetaMask debit card. According to the company, the integration is intended to cut conversion fees and simplify crypto-to-fiat transactions inside the platform.

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