Ripple completed a $ 50 million deal with MoneyGram
|- Ripple extends its partnership with the US-based payment service provider.
- MoneyGram plans to launch additional payment channels based on On-Demand Liquidity.
Fintech-startup Ripple invested another $20 million in the American money transfer service MoneyGram, thus closing the deal for a total of $50 million, according to a press release.
At the final stage, Ripple acquired MoneyGram shares at $4.10 apiece. Now, a California startup owns 9.95% of the company's outstanding shares.
Our partnership with Ripple is transformative for both the traditional money transfer and digital asset industry - for the first time ever, we're settling currencies in seconds. This initial success encourages us to expedite expanding our use of On-Demand Liquidity. Partnerships with companies like Ripple support innovation and allow us to invest in creating better customer experiences. I anticipate furthering our growth into new corridors and exploring new products and services, said Alex Holmes, MoneyGram Chairman and CEO.
Ripple and the American company MoneyGram (NYSE: MGI) concluded their first agreement at the beginning of 2018. MoneyGram started using XRP-based xRapid this summer.
Holmes said earlier that 10% of transfers between the US and Mexico are processed by On-Demand Liquidity (ODL), using Ripple's XRP token. By the end of the year, the company plans to expand the use of ODL by adding four payment channels.
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