International money transfer service MoneyGram plans to enter the stabelcoin market in partnership with Stellar
The company MoneyGram, which conducts international financial transactions, plans to provide services for the transfer and conversion of stabelcoins. It was reported by Bloomberg with reference to the head of the company Alex Holmes.
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MoneyGram will reportedly partner with Stellar to launch a service that will allow users to send Stablecoins as well as convert them into traditional money.
“Today, the world of cryptocurrency and the world of fiat are not exactly compatible. We’re trying to be a bridge from the crypto world to the fiat world,” Holmes said.
According to Holmes, the new service will be powered by the Stellar blockchain. At launch, users are expected to be able to convert traditional currency into Stablecoin USD coin (USDC) from Circle Internet Financial and vice versa.
He also added that cryptocurrencies will take their place in society even despite market volatility and collapses. However, when exactly MoneyGram will launch a platform for the circulation of stabelcoins is not disclosed.
Read also: Should we trust algorithmic stablcoins after TerraUSD incident – opinions of experts
Amid the news, the price of XLM in the XLM/USD pair jumped more than 12% to $0.13, according to Nomics. The cryptocurrency’s market capitalization rose to $3.4 billion.
In the summer of 2021, the media revealed that Stellar was in talks to take over MoneyGram. At that time, it was reported that the Stellar ecosystem development foundation, Stellar Development Foundation, along with the investment company Advent International were in talks about the takeover of the payment giant. However, at the time of writing, the deal has not happened.
You can read about the partnership agreements between MoneyGram and Ripple in the BeInCrypto editorial.
