MoneyGram allows users to send fixed currencies for US dollars and the recipient can exchange them for fiat currencies. The Steller blockchain partnership has been held to facilitate these transactions. Headquartered in Dallas, United States, MoneyGram offers both domestic and international online and in-person money transfer as well as bill payment services. He has been in the finance industry for over 42 years. Its CEO Alex Holmes recently expressed his predictions about the future of the crypto sector.
The digital asset industry saw the second largest outflow of the year as investors pulled about $141 million (about Rs 1,109 crore) from the industry last week after the recent crash of Terra.
Despite the current shaky market situation, Holmes believes that the virtual asset industry is here to stay.
“It’s here to stay and will be here for a long time despite the recent sell-off and volatility,” Bloomberg quoted Holmes as saying.
As part of its services, MoneyGram now allows users to make remittance transactions in US Dollars (USDC).
Hawala is a non-commercial transfer of funds initiated by a foreign worker, a member of the diaspora community, or a person with ties abroad to support the family income of their families in their home countries.
Many regions such as El Salvador, which legalized Bitcoin last year, and Tonga, among others, depend on these transfers in oil for their economies.
Typically, money transfer services like Western Union take a large amount out of the total fund as a service fee. This reduces the money reaching these dependent countries via expatriates working abroad.
The US dollar currency was chosen as MoneyGram to facilitate fast and cheap transactions for remittances.
Against the US dollar, the current value of USDC is $1.05 (about Rs 82) according to Gadgets 360’s cryptocurrency price tracker.
“If a country like El Salvador is going to make bitcoin seamless with US dollars into the country, I think consumers, through MoneyGram, should be able to convert bitcoin to El Salvador or convert dollars and convert them into bitcoin. If this is where the world is headed, let’s get involved. in this world, and let’s see how we can help realize this opportunity,” Holmes reportedly added.
Meanwhile, the Stellar blockchain, which was founded in 2014 is an open source decentralized protocol, capable of converting low-cost digital currencies into fiat currencies. This allows cross-border transactions.