TLDR
- MetaMask’s mUSD stablecoin reached $65 million circulating supply within one week of launch
- 88.2% deployed on Linea Layer 2 network, 11.8% on Ethereum mainnet
- Fully backed 1:1 by dollar-equivalent assets with daily audits for transparency
- Complies with U.S. GENIUS Act regulatory framework for payment stablecoins
- Integrated with MetaMask’s 30 million users and MetaMask Card for merchant payments
MetaMask’s newly launched mUSD stablecoin has achieved remarkable growth, reaching $65 million in circulating supply just seven days after its September 15, 2025 debut. The dollar-pegged cryptocurrency started the week with approximately $15 million in supply, demonstrating rapid market adoption.
The stablecoin launch leveraged MetaMask’s existing user base of over 30 million monthly active users. This built-in distribution network provided immediate access to a large cryptocurrency wallet audience from day one.
Data from Seoul Data Labs reveals that 88.2% of mUSD tokens are currently deployed on the Linea blockchain network. The remaining 11.8% operates on Ethereum mainnet, providing users with multiple blockchain options.
Trading volume reached $62.6 million in the first 24 hours, indicating strong market interest. This early trading activity suggests institutional and retail investor confidence in the new stablecoin offering.
Technical Infrastructure and Partnerships
MetaMask developed mUSD through strategic partnerships with established financial technology companies. Bridge, a Stripe subsidiary, handles stablecoin issuance through its specialized platform infrastructure.
M0, a decentralized infrastructure provider, manages the minting process for new tokens. This partnership approach combines traditional financial expertise with blockchain technology capabilities.
The stablecoin maintains 1:1 backing through high-quality dollar-equivalent assets, including U.S. Treasury bills. These reserves use regulated custody solutions to ensure asset security and regulatory compliance.
Daily audits verify reserve backing, providing transparency that addresses previous industry concerns. This auditing process aims to build user trust through verifiable asset backing.
Regulatory Compliance and Multi-Chain Strategy
mUSD operates under the U.S. GENIUS Act framework, designed specifically for payment stablecoins. This regulatory compliance positions the token as a legally compliant alternative in the growing stablecoin market.
The GENIUS Act requires strict reserve management and regular public disclosures. MetaMask’s adherence to these requirements provides regulatory clarity for institutional adoption.
Linea deployment offers users reduced transaction costs while maintaining Ethereum ecosystem compatibility. The Layer 2 network provides faster, cheaper transactions compared to Ethereum mainnet operations.
MetaMask plans multi-chain expansion to additional blockchain networks in coming months. This strategy will enable cross-chain functionality and broader DeFi protocol integration.
The stablecoin supports various decentralized finance applications including token swaps, lending protocols, and yield farming. Liquidity incentives encourage market makers to provide trading liquidity on decentralized exchanges.
Native MetaMask wallet integration eliminates the need for external tools or applications. Users can store, send, and swap mUSD directly through their existing wallet interface.
MetaMask Card compatibility enables real-world spending at over 150 million Mastercard-accepting merchants. Automatic fiat conversion occurs during transactions, bridging cryptocurrency and traditional payments.
Full card functionality will be available by end of 2025. The current stablecoin market totals $279.8 billion, with USDT leading at $172.3 billion in circulation.
