MoneyGram Partners with Stellar to Enable Money Transfers Using USDC

MoneyGram, a remittance-focused company, announced a partnership with Stellar Development Foundation on Thursday to support instant money transfer using the stablecoin USD Coin (USDC). According to the press release, the deal will place United Texas Bank as the transactions settler for facilitating Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term and conversion from USDC into fiat currencies.

The first phases of the pilot will be deployed in the fourth quarter of this year. Interestingly, MoneyGram is a former Ripple partner, while Stellar is a competitor of the Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term firm behind the development of XRP.

“At MoneyGram, one of our top strategic priorities is to pioneer cross-border payment innovation and blockchain-enabled settlement. As crypto and digital currencies rise in prominence, we’re especially optimistic about the potential of stablecoins as a method to streamline cross-border payments. Given our expertise in global payments, blockchain and compliance, we are extremely well-positioned to continue to be the leader in building bridges to connect digital currencies with local fiat currencies,” Alex Holmes, MoneyGram’s Chairman and CEO, commented.

The service is expected to be available worldwide in 2022, as the pilots will go live in ‘select markets’ during the rest of this year. Moreover, United Texas Bank will serve as the settlement bank between MoneyGram and Circle, which is the issuer of USDC stablecoin. “We are pleased to play an integral part in completing the settlement process by working on this first of a kind direct USDC to USD settlement within a bank regulatory framework,” Scott Beck, a Director of United Texas Bank, noted.

MoneyGram and Cryptos

In May, Moneygram announced that it had partnered with the Bitcoin ATM operator, Coinme to facilitate the Bitcoin transactions services. The MoneyGram and Coinme duo is set to take 4% of every transaction, along with a flat fee of $2.75. In addition, Walmart-based MoneyGram locations will charge an extra $2.

When compared to the fees of crypto exchanges, these charges are extremely high. But, they are definitely bringing cryptocurrencies to the masses.