MoneyGram launched its MGUSD stablecoin natively on Stellar this month, with a global rollout targeting tens of millions of customers and hundreds of thousands of agent locations. The move is one of three big institutional plays for the network in June: the Depository Trust & Clearing Corporation (DTCC) selected Stellar as the first public blockchain to connect to its tokenized securities settlement initiative, and payments platform Mesh added Stellar as a core settlement layer for its crypto payments ecosystem.
MoneyGram goes native on Stellar
MGUSD is issued through a partnership with Bridge (Stripe), M0, and Fireblocks. The stablecoin is designed to move across Stellar's built-in orderbook DEX, which already supports low-fee, fast-finality transfers and issued assets via anchors and path payments. Most institutional users are expected to route stablecoin-to-stablecoin trades on the network to avoid market risk, though XLM — the native token — can still be used for fees or as a bridge asset if needed.
DTCC picks Stellar for tokenized securities
The DTCC's decision to hook its tokenized settlement initiative into Stellar is a first for a public blockchain. It means settlement of tokenized securities could eventually settle on a distributed ledger alongside stablecoin payments — a setup that could compress settlement times and cut counterparty risk. The DTCC hasn't said when the integration goes live, but the selection alone signals that institutional players see Stellar as battle-tested enough for regulated securities.
Japan and the UK rethink stablecoin rules
Regulation is moving in Stellar's favor too — sort of. The Japan Blockchain Foundation plans to launch a trust-type, yen-pegged stablecoin called EJPY on the Japan Open Chain and Ethereum, explicitly designed to avoid transaction caps. Meanwhile, the Bank of England is rethinking parts of its stablecoin regime — holding caps and non-interest reserve requirements — after industry feedback. Both developments could make it easier for stablecoins like MGUSD to operate across major markets, but the UK rewrite isn't final yet.
The risks that still hang over the network
None of this means Stellar is home free. Issuer concentration — MoneyGram is the marquee name, but few others have stepped up — remains a risk. Liquidity fragmentation across chains could undercut the network's utility. Smart-contract bugs, bridge exploits, and FX slippage on cross-border payments are all live threats. The timing of the regulatory shifts in the UK and Japan is still uncertain, and any crackdown could slow adoption. The next concrete thing to watch: when DTCC actually flips the switch on its Stellar connection, and whether MoneyGram's rollout meets its full ambition this year.
