MoneyGram Partners with Stellar to Develop Stablecoin Remittance Platform, and Eyes El Salvador Partnership
2022.05.31 18:16
MoneyGram Partners with Stellar to Develop Stablecoin Remittance Platform, and Eyes El Salvador Partnership
MoneyGram, the global leader in the evolution of digital P2P payments, is partnering with the Stellar Foundation to bridge the crypto and fiat worlds.
MoneyGram Partners with Stellar for Stablecoin Remittances
The partnership between MoneyGram and the Stellar Foundation, issuers of the Stellar blockchain and the XLM coin, will see the creation of a stablecoin-based platform for money transfers.
MoneyGram will leverage Stellar’s blockchain to build a platform for stablecoins for use in remittance payments. When MoneyGram’s new service launches, the platform will predominantly use Circle’s USD Coin (USDC).
The platform will also allow users to cash out their stablecoins for fiat currency through MoneyGram’s network.
MoneyGram to Work with El Salvador
In an interview, MoneyGram’s CEO Alex Holmes revealed that the company is also in talks with third-party companies providing digital wallets in El Salvador, alongside the government-backed Chivo wallets.
Holmes believes that a partnership would serve to boost the pace of adoption in El Salvador, the first country to make Bitcoin a legal tender.
MoneyGram’s relationship with Stellar dates back to October 2021, when the two collaborated to connect digital wallets to the Stellar network, thereby granting users access to MoneyGram’s global retail platform.
On the Flipside
- The move comes amid heightened regulatory tension resulting from the collapse of the Terra ecosystem, which lead to the loss of over $50 billion for investors.
Why You Should Care
MoneyGram believes that crypto is here to stay, and that bringing it to mainstream prominence is vitally important.
Learn more about MoneyGram’s previous partnership with Stellar here:
MoneyGram Announces Innovative Partnership with the Stellar Development Foundation to Utilize Blockchain Technology
MoneyGram has also invested in crypto firms. You can read about that here:
MoneyGram Announces Minority Investment in Coinme, the Largest Licensed Cryptocurrency Cash Exchange in the U.S.
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