Money Transfer giant MoneyGram says Ripple’s native token XRP is an important part of the company’s efforts to grow digital money transfers.
According to a new report from Payments Source, Kamila Chytil, MoneyGram’s Chief Operating Officer, is focused on “expanding MoneyGram’s digital offering and improving operational efficiency, for example by partnering with Ripple to use XRP for immediate FX settlement”.
In the past two months, the Texas-based payment company has seen its digital transactions increase amid the corona virus pandemic.
In the quarter ended March 31, 2020, MoneyGram’s digital transactions grew 57% year over year, while walk-in transactions decreased 6% year over year. In addition, digital transactions at the end of the first quarter represented 18% of all MoneyGram transfers.
Last month, the company’s digital transactions were up 81% year over year, as online transfers brought in 28% of MoneyGram transactions. However, it is still early for MoneyGram’s integration of XRP. The company says it uses the digital assets to realize 10% of the transaction volume between Mexico and the US.
Chytil says the digital transaction boom is the result of the company’s early efforts to take advantage of the space.
“MoneyGram used to be very transaction oriented. We knew where the money went and who sent it, but didn’t focus on things that are essential to be customer-centric … We started communicating with our digital customers in their own language via emails, text messages in a personalized way and chat. It has been a lot of work, but it is paying off. “
In June 2019, Ripple acquired a $ 50 million stake in MoneyGram to enter into a strategic partnership for cross-border and currency settlements.
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