In Brief:
- MoneyGram International, Inc. partner with the Stellar Development Foundation
- The partnership will provide the ability to seamlessly convert USDC to fiat, or fiat to USDC
- United Texas Bank will serve as a settlement bank between Circle and MoneyGram.
The world’s leading provider of digital P2P payments, MoneyGram International announced its partnership with the Stellar Development Foundation.
By partnering with the Stellar Development Foundation, MoneyGram will integrate its network with the Stellar blockchain to facilitate payments using Circle Internet Financial’s USD Coin.
Stellar wallet holders will have access to physical locations where they can convert USD Coins to cash and vice versa. It shows that blockchain is becoming practical in the real world.
By integrating with the Stellar blockchain using Circle’s USDCoin (USDC), MoneyGram enables cash funding and payout of consumers in their local currency as well as near-instant backend settlement timeframes to consumers.
The United Texas Bank will maintain a settlement account between Circle and MoneyGram.
United Texas Bank’s Director, Scott N. Beck, said, “We are pleased to play a part in completing the settlement process, which is a first of its kind for a direct USDC to USD settlement within a bank regulatory framework.
MoneyGram CEO Alex Holmes said that the partnership will also change the settlement process by allowing settlements to happen in near-real time using the USD Coin.
Denelle Dixon, CEO and Executive Director of the Stellar Development Foundation, said, “This partnership illustrates how blockchain technology and stablecoins can improve global infrastructure and customer experience.”
One of the largest money-transfer providers, MoneyGram is located in Dallas and lets customers send money across 200 countries and territories.
Also Read: Stellar Plans to Acquire the 81 year old MoneyGram Inc
Stellar is based in San Francisco and manages a network that facilitates cross-border payments. And Circle is the principal operator of USD Coin (USDC), which has become the fastest growing, regulated, fully reserved dollar digital currency.
Stellar is an open-source company founded in 2014 that supports the Stellar network, a tool that makes money transfer between companies and individuals easier through blockchain.
