- MetaMask plans to launch its stablecoin mmUSD using Stripe’s payments infrastructure.
- The new mmUSD aims to simplify stablecoin adoption across MetaMask’s global user base.
- Stripe integration will allow users to mint mmUSD with fiat for smooth on-chain transactions.
MetaMask, one of Web3’s popular wallets, is planning a major shift into the stablecoin market. A new governance proposal suggests that the wallet will launch MetaMask USD (mmUSD). This stablecoin is to be issued by Stripe and constructed natively for MetaMask users. This marks a new era of direct issuance of stablecoins by crypto wallets. Until now, wallets mostly relied on third-party assets like USDC or DAI. But MetaMask is aiming to change that, setting the stage for in-app liquidity and deeper user integration.
Wallet-Based Stablecoins Gain Momentum
If launched, mmUSD would be issued entirely on-chain and bridged through the Stripe-backed M^0 network. The system would support fiat on-ramps and off-ramps while meeting regulatory requirements. Reportedly, the minting and redemption would be handled by the Bridge Protocol.
The stablecoin is already being positioned for integration into Aave’s v3 pools on Ethereum and Linea. A governance proposal filed on August 5 recommends adding mmUSD to Aave’s lending markets, MetaMask believes this will boost in-app liquidity and streamline DeFi interactions.
mmUSD would be the default asset in the MetaMask functions such as Swap, Buy/Sell, and Earn. Its adoption would allow the smooth operation of a user and minimize the friction in everyday transactions. MetaMask plans to implement the ability to utilize stablecoins in its wallet framework.
This approach could deepen organic distribution and transform stablecoins from external tools into core wallet primitives. MetaMask has not provided an official launch date or detailed token design yet. However, the proposal suggests integration efforts are already underway.
From Interface to Infrastructure
The move follows MetaMask’s recent partnership with Baanx and Mastercard to launch a crypto-linked debit card. The MetaMask card allows users to spend assets from their wallet without custodial interference. It’s part of a broader shift toward non-custodial neobanking.
Baanx executive Simon Jones said the card bridges gaps between crypto and traditional finance. He described it as a “full-stack pipeline” from the blockchain to the consumer. The infrastructure removes banks and exchanges from the payment process.
With mmUSD, MetaMask would no longer depend solely on external tokens to power its wallet. The stablecoin would serve as a liquidity anchor and could also compete with major players like USDC and DAI, highlighting the expanding utility of wallets in DeFi.
Stablecoins continue to grow rapidly. In 2020, their total circulation was in the low billions. Today, over $250 billion in stablecoins circulate across blockchain networks. Around 20 million crypto addresses now use stablecoins regularly.
Federal Reserve Governor Christopher Waller noted that 99% of stablecoin value is linked to the U.S. dollar. He said stablecoins may extend global dollar usage instead of reducing it. Former U.S. Comptroller Brian Brooks added that stablecoins can strengthen the dollar’s reserve role.
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The mmUSD proposal comes at a moment when wallet influence in crypto markets is increasing. Stablecoin issuance may also become the norm as wallets become more of the financial platforms rather than a vehicle of access. The size of the user base of MetaMask, as well as brand recognition, can make mmUSD have early traction.
If adopted, mmUSD would allow MetaMask to own the full payment flow, which includes the wallet, asset, and eventual settlement layer. It could reduce reliance on centralized issuers and give MetaMask greater control over user experience and platform fees. If successful, mmUSD could shift how stablecoins are issued, used, and distributed.
