MetaMask to Announce Details of Its Own Dollar-Pegged Stablecoin mUSD This Week
According to informed sources, MetaMask, the mainstream wallet in the Ethereum blockchain ecosystem, may announce details of its own dollar-pegged stablecoin, tentatively named mUSD, as early as this week.
Previously, the public learned about MetaMask’s development of this stablecoin due to a governance proposal that was unexpectedly released and quickly deleted last week. Insiders say that if the announcement occurs as scheduled this week, the new dollar-pegged token will officially launch by the end of this month.
MetaMask reports that it has over 30 million monthly active users. It is understood that the company is collaborating with Bridge, which was acquired by fintech giant Stripe earlier this year, to issue mUSD. Bridge focuses on integrating stablecoin payment infrastructure for enterprises and is participating in the project alongside the stablecoin issuance protocol M^0.
In addition to its deep collaboration with Bridge, MetaMask has also brought in alternative asset management company Blackstone from the traditional finance sector to provide custody and fund management services for the stablecoin.
It is currently unclear how MetaMask plans to integrate mUSD with its existing products. However, similar to other large stablecoin issuers that hold significant user funds, one of MetaMask’s motivations for launching a branded stablecoin is undoubtedly to capture a share of the underlying yield sources from stablecoin assets, which typically consist of interest income from short-term, highly liquid bonds such as U.S. Treasury securities.