The search for biomarkers and pathophysiological mechanisms in psychiatry is a major objective in current research. One important prerequisite for the success of this approach is noninvasive imaging techniques that yield insights into alterations of large-scale networks and establish relationships with preclinical work. Anatomical and functional magnetic resonance imaging (MRI/fMRI) have been extensively used for this purpose because of their ability to measure the layout of anatomical and functional networks with excellent spatial resolution. However, a limitation of this approach is that these techniques allow only indirect links to the physiology of underlying signal changes. Moreover, the temporal resolution of fMRI is in the range of seconds. In contrast, large-scale brain networks operate in the millisecond scale with frequencies of up to 200 Hz that are fundamental for cognitive processes, and these fast rhythmic fluctuations have been found to be impaired in schizophrenia and other psychiatric disorders. 1 Accordingly, these data highlight the importance of techniques that allow the measurement of brain signals with realistic temporal resolution and permit the accurate reconstruction of underlying networks.In this article, we would like to make the case that magnetoencephalography (MEG) is an imaging technique that is ideally suited for this goal. Although already first introduced in the 1980s, we believe that MEG is now at a point in which a comprehensive application of this approach toward discovering biomarkers and pathophysiological mechanisms in psychiatry is warranted because of significant advances in identifying the underlying generators through novel source reconstruction approaches as well as the wider availability of MEG systems (>200 MEG centers worldwide).Similarly to electroencephalography (EEG), MEG signals are generated primarily by currents based on postsynaptic potentials of pyramidal cells (Figure). However, there are important distinctions between both techniques that result from the different ways in which signals fluctuations in electrical fields of the brain are measured.Electroencephalography typically involves electrodes that are directly located on the scalp while MEG uses superconducting quantum interference devices that measure deviations within magnetic fields that are caused by electric activity. Superconducting quantum interference devices are used in 2 types: (1) magnetometers measure the magnetic field component along the direction perpendicular to the surface of the sensor and (2) gradiometers measure the spatial gradient rather than the magnitude of the field. Current state-of-the-art MEG systems use both sensors, the combination of which improves the detection of deeper sources. This is an important issue, as the strength of the magnetic signals rapidly decays with increasing distance and therefore measuring deeper sources, such as the hippocampus, thalamus, and amygdala, is