MoneyGram and the Stellar Development Foundation have launched a new service called MoneyGram Access. With the new service, customers can go to their nearest MoneyGram location to convert money into the USDC stablecoin cryptocurrency and send it to someone else for a low fee. The recipient can then head to their nearest MoneyGram location and withdraw the money.
MoneyGram said that the service is now available in several key remittance markets including Canada, Kenya, the Philippines, and the United States. It hopes to expand MoneyGram Access globally by the end of the month. For the first 12 months, MoneyGram plans to offer this service without fees to boost adoption.
One of the benefits of using USDC on the Stellar network for remittance payments is that transfers settle very quickly meaning recipients don’t need to sit around waiting days on end for their money to arrive. The lower fees also mean people get to keep more of their money instead of spending it on expensive fees.
Commenting on the development, Alex Holmes, MoneyGram Chairman and CEO, said:
“We're thrilled to work alongside the Stellar Development Foundation on this important initiative to bring more opportunities to consumers around the world by making the worlds of crypto and local fiat currency compatible. At MoneyGram, we're on a mission to deliver innovative financial solutions that connect the world's communities, and the initial launch of this service is another important milestone on our journey. It's especially exciting to launch this service ahead of schedule due to the strong collaboration of our technology teams, and we look forward to further collaboration with SDF as we work on uncovering new ways to utilize blockchain to further streamline cross-border payments.”
To get started using MoneyGram Access, you should download the Vibrant or LOBSTR digital wallets. From there you can enter how much USDC you want to buy and your information then you can acquire the digital currency by taking the right amount of cash to your local MoneyGram location.
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