DescriptionMesenchymal stem cells have been an attractive cell source for cell-based therapies and regenerative medicines due to their multilineage differentiation and immunomodulatory capabilities; however, the commercial use of these cells is limited by large-scale manufacturing methods of cells. There has been much reported success in designing scale-up approaches to propagating MSCs, such as hollow fiber bioreactors and microcarriers, being able to reduce labor intensity and increase cell yields compared to traditional cell culturing methods. Yet, even these approaches are limited in their scalability and risk damaging the cells. Herein, a hydrogel encapsulation approach is developed as a means to efficiently expand MSCs and overcome the previously reported complications of scale-up approaches. The proposed hydrogel is comprised of polyethylene glycol in addition to naturally derived components native to mammalian extracellular matrix (ECM), namely thiolated gelatin and thiolated hyaluronic acid; cells suspended in the polymer solution are formed into droplets and allowed to polymerize via a thiol-michael addition reaction such that the newly formed polymer spheres can be cultured in suspension. Our results indicate, that although early in design stages, cell proliferation does seem to occur, and with further optimization and quality assurance testing, this system can be transitioned to an industrial setting for the commercial expansion of MSCs and adapted to other adherent cell types.