Having tipped its nose at Ripple, MoneyGram has formed a partnership with rival blockchain network Stellar to support instant money transfers using the USDC stable coin.
The agreement will provide wallet numbers linked to the stellar network and access to the MoneyGram website, which allows money to be deposited and paid in local currency for customers using USDC, as well as an immediate response after backend capability.
“For MoneyGram, one of the top priorities has been to pursue regular payments and improve the ways you can prevent it,” said Alex Holmes, chairman of MoneyGram and general manager. “As crypto and digital currencies rise, we are relying more on the potential of fixed currencies as a way to reduce payment limits. Due to our experience in global payments, blockchain, and by the rules, we are in a very good position to continue to be a leader in building digital and national currency bridges. “
United Texas Bank will be a bank between Circle and MoneyGram.
Scott Beck, director of United Texas Bank, said: “We are delighted to play a key role in completing the process by serving this first USDC charity at USD regulatory banking locations.”
The partnership is slated to start operating in the selected 2021 market, with another international project planned for 2022.
Cooperation with Stellar comes after MoneyGram terminated cooperation with Ripple regarding the dust agreement with the Security and Exchange Commission.