MoneyGram International (NQ:MGI), one of the leading global financial services providers, unveiled a new cryptocurrency service yesterday. It enables customers to hold, buy and sell their crypto assets within the company’s mobile application.
Currently, users can trade three leading cryptos: Bitcoin (BTC), Litecoin (LTC) and Ethereum (ETH), while the service is available in the majority of the US states. In the past, MoneyGram offered indirect access to cryptos through a partnership with blockchain-oriented companies like Coinme, Stellar and G-Coin. Now, it broadens its arrangement with Coinme to provide direct cryptocurrency holding and trading via its native app.
“Cryptocurrencies are additive to everything we’re doing at MoneyGram. From dollars to euros to yen and so on, MoneyGram enables instant access to over 120 currencies around the globe, and we see crypto and digital currencies as another input and output option,” Alex Holmes, the Chairman and CEO at MoneyGram, said.
“As a next step in the evolution of MoneyGram, we’re thrilled to provide our customers with access to a trusted and easy-to-use platform to securely buy, sell and hold select cryptocurrencies.”
According to MoneyGram’s press release, the cryptocurrency move answers the dynamic growth of consumers’ interest in digital currencies. MoneyGram expects to add another crypto asset, while actively exploring market expansion opportunities in 2023.
MoneyGram Took Cryptocurrencies into the Mainstream
MoneyGram’s recent activities clearly show that the payment and financial services provider strategy has begun to focus heavily on cryptocurrencies. In May 2021, it enabled the sale and purchase of Bitcoin at its physical kiosks across the United States. It was the first partnership deal with crypto operator Coinme, which upped the stakes yesterday.
In early 2022, the company increased its involvement in Coinme and invested strategically in the crypto-cash exchange firm. The investment gave MoneyGram a 4% ownership stake in Coinme and closed its Series A financing round.
In October 2021, Stellar Development Foundation, which develops the USD Coin (USDC), became MoneyGram’s next partner. Under the partnership, MoneyGram customers gained the ability to transfer funds instantly using the popular stablecoin. A month later, both parties agreed to launch a live cash-in and cash-out pilot in the US.