Major money transmission network MoneyGram has announced that blockchain-based payments firm Ripple has completed its original commitment with a final $20 million investment.
In a Nov. 25 press release, MoneyGram announced that Ripple Labs Inc. has made a final $20 million equity investment in MoneyGram as part of Ripple’s original $50 million equity investment commitment.
In June, the two companies entered into a 2-year-strategic partnership to collaborate in cross-border payments and foreign exchange settlements with digital assets. As part of the agreement, MoneyGram would be able to draw up to $50 million dollars from Ripple in exchange for equity.
MoneyGram will reportedly use Ripple’s xRapid liquidity product to allow for money to be sent in one currency and instantly settled in the destination currency. By using Ripple’s XRP token for such transfers, xRapid can purportedly settle such transactions faster than with fiat currencies or other major digital assets