Moneygram, the global money transfer firm, is teaming up with Ripple’s XRP to allow customers send and complete cross-border payments quicker and cheaper.
Ripple is the blockchain company which created a real-time gross settlement system (RTGS) currency exchange and remittance network.
The deal will give customers the ability to send funds in real-time transparently. The deal will grant MoneyGram access and use of XRP, the native digital asset of the XRP Ledger, in their payment flows through xRapid, Ripple’s on-demand liquidity product.
The firm will be able to send on-demand payments, reduce FX costs and fees, and customers will receive real-time insight on the status of their payments.
“Ripple is at the forefront of blockchain technology and we look forward to piloting xRapid,” said Alex Holmes, chief executive officer of MoneyGram, in a press release. “We’re hopeful it will increase efficiency and improve services to MoneyGram’s customers.”
Ripple is focused on fixing the inefficiencies and problems that exist in cross-border payments, regardless of whether those payments originate with a bank, corporate or another financial institution.
“The payments problem doesn’t just affect banks, it also affects companies like MoneyGram, which help people get money to the ones they care about,” said Brad Garlinghouse, CEO of Ripple. “By using a digital asset like XRP that settles in three seconds or less, our clients can move money as quickly as information.”
So the next time you get a Moneygram transfer made to you in record time, you might have blockchain technology to thank for that.