Western Union to acquire Ripple’s partner MoneyGram?

Western Union is reportedly planning to acquire MoneyGram - a deal that could have a noticeable impact on Ripple.
Western Union has made an official takeover bid, according to a Bloomberg report.
MoneyGram is yet to make a decision.

Rajarshi Mitra Independent Analyst

Western Union is reportedly planning to acquire MoneyGram - a deal that can have a noticeable impact on Ripple. According to a Bloomberg report, anonymous sources “familiar with the matter” said that Western Union had made an official takeover bid. MoneyGram is yet to make a decision.

In 2019, MoneyGram partnered with Ripple to leverage its XRP-powered cross-border payment product, On-Demand Liquidity, to process a part of its remittances. Ripple owns around 10% of MoneyGram’s common stock after investing $50-million in the payments giant last year.

Currently, Western Union is exploring XRP’s potential to power cross-border transactions. However, it isn’t very positive about the prospect. In June 2019, CEO Hikmet Ersek had said that the company’s early trials with XRP showed that using crypto was five times more expensive than relying on Western Union’s in-house system. This outlook, however, appears to be changing. In April, researchers at Credit Suisse reported that Western Union continues “testing and considering the use of Ripple (XRP) for cross-border [payments]” even though the company was “initially less bullish” on the technology.

Western Union and MoneyGram are two of the largest money-transfer companies in the US. MoneyGram has a market value of about $164 million and Western Union has a market value of approximately $8.5 billion per Bloomberg.
.

Author

Rajarshi Mitra

Independent Analyst

Rajarshi entered the blockchain space in 2016. He is a blockchain researcher who has worked for Blockgeeks and has done research work for several ICOs. He gets regularly invited to give talks on the blockchain technology and cryptocurrencies.

XRP stuck in tight range as whale demand, on-chain activity strengthen

Ripple (XRP) declines for a second day in a row, trading around $1.07 at the time of writing on Tuesday. The remittance token has continued to sustain a bearish outlook, aligning with the broader cryptocurrency market.

Bitcoin rises toward $64,000 as Coldcard exploit, strategy sales recede – ADA advances

Bitcoin rose 1.6% over the last 24 hours, climbing as high as $64,160 to the highest since July 31 before retreating. The rebound followed a selloff spurred by an exploit that targeted a cold wallet over the weekend and bitcoin sales by the world’s largest corporate holder.

Crypto Today: Bitcoin, Ethereum, XRP shows recovery signs as Ethereum and XRP struggle

Bitcoin (BTC) advances above $63,000 on Tuesday, buoyed by increasing investor risk appetite. Ethereum (ETH) continues to trade under pressure below the supply range at $1,900 and above the short-term $1,800 support. At the same time, Ripple’s (XRP) upside is constrained under the pivotal $1.10 level while support at $1.00 remains intact.

US Yen intervention puts Bitcoin, risk assets on notice for liquidity flux

Washington’s growing coordination with the Bank of Japan (BoJ) points to a potential boost in global dollar liquidity — even as it runs up against a yen carry trade unwind that could squeeze liquidity if it deepens further. Last week, the US and Japan conducted a rare joint intervention to prop up the yen, which had slid to 40-year lows of 164 per dollar — the first of its kind since 1998.

Bitcoin: Bulls hold the line

Bitcoin (BTC) edges slightly lower, trading at $64,300 at the time of writing on Friday but holding firmly above a key support zone. US-listed spot Bitcoin Exchange Traded Funds (ETFs) support BTC as they continued to attract institutional flows through Thursday, pointing to the fourth consecutive week of net inflows.