MoneyGram rolls out an online remittance platform in Brazil. Ripple links lead to speculation that the payment giant may be using Ripple ODL.
MoneyGram has launched an online platform in Brazil, per a press release from the company yesterday.
MoneyGram Online (MGO) will allow Brazilian customers to send remittances globally, MoneyGram said in the press release. Customers will pay no transaction fees for using the service, which promises to deliver at “near real-time” speed.
“This is a significant growth opportunity for MoneyGram to capture market share in a country with one of the largest populations in the world,” Alex Holmes, MoneyGram CEO, said. “As we approach the start of the new year, we’re set up for success.”
MoneyGram disclosed that the service is made possible through a partnership with Frente Corretora, a Brazilian FinTech company. Notably, Frente Corretora is also a Ripple partner, per a release from Ripple in August. Consequently,
MoneyGram launches MoneyGram Online in Brazil via Frente Corretora – “developed in partnership with #Ripple.” They are partnered with Travelex – Ripple’s major #XRP ODL partner Bank in Brazil.
MoneyGram/Ripple did say «committed to revisiting our relationship on the future» 😛 pic.twitter.com/T1upPgB35j
— Tehol_Beddict_XRP (@TeholBeddictXRP) December 21, 2022
However, there is no explicit mention of this in the report.
Notably, if true, it would not be the first time for MoneyGram to use Ripple’s ODL service. Both entered into a partnership in 2019 that saw Ripple buy a $30 million stake in the company allowing MoneyGram to use Ripple’s ODL service at the time called xRapid for cross-border payments.
However, the partnership ended in March 2021, not long after the US Securities and
Today, we’re announcing that Ripple and MGI have together decided to wind down our current partnership agreement, and are both committed to revisiting it in the future. See our full statement: 1/2 https://t.co/KGOzPWuThR
— Brad Garlinghouse (@bgarlinghouse) March 8, 2021
Notably, Ripple’s ODL service has expanded to nearly 40 payout markets, representing about 90% of the foreign exchange markets, facilitating cheap and near-instant cross-border payments for its partners.