Payment giant MoneyGram International continues to cement its partnership with the Stellar ecosystem. In an official mail, the company announced a new phase in their collaboration by launching a live deposit and withdrawal pilot initiative in the United States.
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After MoneyGram ended its relationship with payment solutions company Ripple due to the US SEC lawsuit against its executives, MoneyGram entered into a partnership with the Stellar Development Foundation. In just under 2 months, partners have taken important steps to improve the company’s payment processing capabilities.
According to MoneyGram, their latest pilot initiative has enabled them to deliver “one of the fastest, most seamless integrations ever”. Effective immediately, participants in the US can make dollar deposits into their wallets at certain MoneyGram facilities and use the Stellar-based USDC coin (USDC) to send instant payments overseas.
In addition, attendees can convert Stellar USDC into “any supported cash currency” on MoneyGram. The official post claims:
With Stellar, MoneyGram enables consumers to seamlessly convert USDC to cash or cash to USDC – all without the need for a bank account. With USDC being the fastest growing digital dollar currency in the world, the utility and liquidity of this versatile digital asset will only increase as more wallets and companies join the Stellar ecosystem
The company added that this program made MoneyGram’s payment processing “instant” for the first time since its inception. The company believes that this will allow consumers to benefit from greater payment efficiency, lower risk, and faster cash collection.
Unlike its competitor, MoneyGram believes that cash as a tool for the unbaked will be a part of the future. With this in mind, they are trying to create alternatives to cash and expand access to financial opportunities for everyone.
How does the MoneyGram and Stellar Pilot solution work?
According to the post, MoneyGram used Stellar’s resources and documentation for its developer kits and its “well-designed set” of ecosystem protocols (SEPs) with various APIs to create its pilot solution.
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Jake Urban, Senior Software Engineer at the Stellar Development Foundation, is expected to be publicly available in 2021. The company said:
By integrating with Stellar, MoneyGram is providing its millions of users with a local fiat entry point to the blockchain and providing those in emerging markets with easier access to digital assets than ever before. This pilot is just the first of many steps to bring better access to the global financial system for everyone, regardless of where they are.
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XLLM on a downtrend on the daily chart. Source: XLMUSDT Tradingview