SAN FRANCISCO—Ripple, a provider of blockchain for global payments, has entered into a strategic partnership with MoneyGram. MoneyGram is one of the world’s largest money transfer companies.
Through the partnership, which will have an initial term of two years, Ripple will become MoneyGram’s key partner for cross-border payment and foreign exchange settlement using digital assets, Enterprise Times reported.
In conjunction with the partnership, Ripple has agreed to provide a capital commitment to MoneyGram enabling it to draw up to $50 million in exchange for equity over a two-year period.
“As the payments industry evolves and matures, it’s imperative that we continue to improve our platform and provide the most effective solution to get funds from point A to point B,” said Alex Holmes, MoneyGram Chairman and CEO. “Through Ripple’s xRapid product, we will have the ability to instantly settle funds from U.S. dollars to destination currencies on a 24/7 basis, which has the potential to revolutionize our operations and dramatically streamline our global liquidity management.”