MoneyGram and Stellar (XLM) Collaboration Celebrates Three Years of Financial Inclusion

Three years ago, MoneyGram initiated a groundbreaking partnership with Stellar (XLM), launching a crypto-to-cash service that has significantly improved global financial accessibility. This collaboration aimed to address a major hurdle in the crypto space: making digital assets usable in real-world scenarios. According to Stellar, the service has transformed into the largest cash on and off-ramp network worldwide, connecting blockchain technology with local economies.

Expanding Global Access

MoneyGram’s service now extends to over 170 countries, allowing users to benefit from stablecoins without the technical barriers typically associated with crypto transactions. The service simplifies the process, enabling users to easily convert between digital currencies and local cash through a digital wallet. This initiative has processed nearly $30 million in transactions, demonstrating a rising demand for integrating traditional finance with digital assets.

Real-World Impact

The partnership has had a tangible impact on individuals like Luis, who uses the Decaf wallet with MoneyGram Ramps as an alternative to traditional banking in Mexico. Receiving his salary in USDC via the Stellar Disbursements Platform, Luis can cash out locally or send money to family abroad, showcasing the service’s ability to facilitate secure and efficient cross-border transactions.

Humanitarian Aid and Compliance

Beyond individual users, the service has been pivotal in delivering humanitarian aid swiftly and securely. Organizations such as UNHCR and IRC utilize the Stellar network to distribute aid directly as USDC to recipients’ digital wallets, who can then convert it to local currency at MoneyGram locations. Compliance and consumer protection remain central to the service, with integrated wallets adhering to Stellar’s SEP-24 standard for streamlined KYC requirements.

Future Prospects

MoneyGram and Stellar’s partnership exemplifies how digital assets and traditional finance can collaborate to enhance financial inclusion. The integration has set a precedent for blockchain adoption, providing individuals and businesses with innovative financial tools. Luke Tuttle, CTO at MoneyGram, emphasized the company’s commitment to democratizing financial access and leveraging blockchain technology to support underbanked communities worldwide.

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