MetaMask To Issue Native Stablecoin Through Stripe’s Bridge

MetaMask, a self-custodial crypto wallet, is doing its own native stablecoin, to be issued through Bridge, owned by Stripe. The MetaMask USD ($mUSD) stablecoin will be built into the self-custodial wallet, delivering an effortless dollar-denominated stablecoin experience to hold, spend, and transact in the web3 ecosystem.

MetaMask Prepares To Issue mUSD Stablecoin

According to a press release, MetaMask has plans to launch its native stablecoin mUSD through Bridge, a stablecoin issuance platform acquired by Stripe and M0, a decentralized stablecoin infrastructure and liquidity platform. The launch of mUSD later in the year will make MetaMask the self-custodial wallet to issue a stablecoin.

Bridge co-founder and CEO Zach Abrams explained in the release that their issuance technology will help MetaMask reduce the time required to issue their custom stablecoin, mUSD. The process that would have taken “more than a year of complex integrations” would be achieved in weeks for mUSD.

Bridge will also offer MetaMask a faster and more efficiently distributed stablecoin than ever before. When this stablecoin is launched, it will be directly integrated into the self-custodial wallet of MetaMask. The integration will allow MetaMask holders to hold, spend and transact mUSD across Web3 applications.

In addition to that, MetaMask will collaborate with the M0 liquidity network, enabling composable cross-chain usage, the release said. The first network when mUSD launches later in the year will be the Ethereum blockchain. Then the stablecoin will be onboarded in the Linea network, an EVM analogue and a layer 2 that has been bootstrapped by Consensys.

MetaMask Aims To Adopt the Stablecoin As Part of Its Expansion Plans

According to MetaMask, the stablecoin would play a key role in the DeFi ecosystem of Linea. MetaMask outlined that a wallet-native, self-custodial stablecoin will enhance the experience of regular value on-ramps, holders, traders, lenders, and spenders using MetaMask.

The company will also introduce a MetaMask Card this year in collaboration with Mastercard that will allow users to spend mUSD on normal transactions. This is because this bridge between digital assets and real-world commerce is part of the MetaMask plan to serve the world outside the crypto community. 

mUSD will place MetaMask at the intersection of self-custody, stablecoin adoption, and real-world functionality. MetaMask explained that a wallet-native, self-custodial stablecoin will improve the experience of regular value on-rampers, holders, traders, lenders, and spenders using MetaMask.

According to the company, this makes Web3 and self-custody easier. Gal Eldar, product lead at MetaMask, explained that the mUSD stablecoin will reduce the costs of adoption of Web3.

Eldar explained that it saves cost and streamlines the onboarding process. He adds that the stablecoin will enable users to transfer their assets on-chain, lock them in DeFi and use them in everyday payments.

Increased Clarity Paves the Way for Stablecoins

In its release, MetaMask cited the GENIUS Act, recently passed by the U.S. government, as a major factor that enabled the launch of its mUSD stablecoin. Bringing much-needed regulatory clarity, the GENIUS Act has enabled MetaMask and other companies to issue stablecoins, including the state of Wyoming, which recently launched the FRNT stablecoin.