- MoneyGram reportedly sold $11,300,000 worth of XRP
- The company receives XRP from Ripple as compensation
- MoneyGram uses XRP for 10% transactions between the U.S and Mexico
Cryptocurrency News Today – according to reports, global money processor, MoneyGram has revealed that it has sold a whopping $11.3 million worth of XRP. Recall that after the strategic partnership between the two entities, Ripple agreed to give MoneyGram some of its crypto assets, (the XRP token).
MoneyGram has sold a lump sum of the XRP tokens it received from Ripple due to the commercial agreement between both sides. MoneyGram revealed, revealed this report in its most recent SEC filing. MoneyGram also confirmed that it receives XRP tokens from Ripple as part of its compensation package for adopting Ripple’s ODL (On-Demand Liquidity) platform to provide cross-border payments to its customers.
MoneyGram Gets XRP Tokens From Ripple as Compensation
In its statement MoneyGram said:
“Our company is compensated by Ripple for using its ODL platform in XRP. This compensation is for the development and providing liquidity to foreign markets, based on the On-Demand Liquidity platform and to offer a reliable foreign exchange trading action.”
Ripple’s On-Demand Liquidity platform settles remittances in real-time. The platform achieves this by converting a sender’s currency into the XRP token and moving the digital token across borders before converting it to its destination’s currency. According to a spokesperson for MoneyGram, the Texas-based entity immediately liquidates all of the XRP tokens it receives from Ripple, the company. Here is how the individual puts it:
“Global remittances firm MoneyGram reportedly received a total of $11.3 million worth of the XRP token from Ripple. This was made in for incentive payments in the past year. MoneyGram sold the digital assets it received as soon as it got them.”
MoneyGram Uses XRP to Move 10% of Transactions Between Mexico and the U.S
Recall that months ago, particularly in June of last year, Ripple and MoneyGram announced that they had entered a strategic commercial partnership. The goal of this collaboration is to facilitate cross-border transactions and foreign exchange remittances. Following the move Ripple acquired a $50-million stake in MoneyGram. Now, the partnership has seen MoneyGram sell a whopping $11.3 million worth of XRP at press time. MoneyGram also stated in its latest SEC filing that it is now using Ripple’s XRP token to move about 10% of its overall transaction volume between the United States and Mexico.
This move is another milestone for the digital currency operated by Ripple, XRP. It just shows how far the coin has come in terms of adoption and real-world use cases. The partnership will likely keep yielding more good things to the benefit of the parties involved.