MoneyGram partners with Stellar
MoneyGram announced this partnership with Stellar yesterday. The new settlement mechanism will also rely on USDC, a dollar-backed stablecoin:
“MoneyGram’s network, integrated with the Stellar blockchain, and facilitated by Circle’s USD Coin (USDC), will enable local cash funding and payment for consumers using the USDC. “
Concretely, this means that users will be able to easily convert their cash into USDC, or vice versa. MoneyGram also notes that the use of stablecoin will for the first time greatly speed up the payment process which will take place “almost in real time”.
The United Texas Bank will in turn act as a settlement bank and act as an intermediary between Circle and Moneygram.
Bet on stablecoins
Alex Holmes, CEO of MoneyGram, said stablecoins are the future, despite being under particular scrutiny by regulators at the moment:
“As cryptocurrencies and digital currencies come to the fore, we are particularly optimistic about the potential of stablecoins as a way to simplify international payments. “
As a reminder, MoneyGram was previously associated with Ripple. But the San Francisco-based company found itself embroiled in legal issues, which ended up affecting MoneyGram. The partnership was therefore dissolved at the start of 2021.
The XLM price reacts
In an already rather bullish context, the price of Stellar’s XLM seems to have reacted to the news. In just under 24 hours, it took + 20%, reaching $ 0.36:
Source: TradingView, XLM / USDT
It is also one of the strongest increases of the week, with an increase of +33%. The capitalization of XLM is 8.6 billion dollars this morning.
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About the author: Marine Debelloir
Associate Editor on Cryptoast, I fell into the pot of cryptocurrencies a few years ago. I am passionate about the innovative technologies that arise from the blockchain and I like to find the most delicious information to share with you.
All articles by Marine Debelloir.