MoneyGram, a global payments platform, is set to transform the landscape of cross-border transactions with the introduction of a non-custodial wallet in the first quarter of 2024. This development was unveiled at the annual Meridian conference hosted by the Stellar Development Foundation.
Announced at #Meridian2023 : @MoneyGram is releasing a Stellar-based non-custodial wallet. This is part of the promo video shown. pic.twitter.com/qKdGWWZNFG
— Jayrome (@iamjayrome) September 26, 2023
The wallet, a collaborative effort with Cheesecake Labs, will leverage the Stellar network and MoneyGram’s fiat on and off-ramp services to enable instantaneous transactions. It will empower users to utilize stablecoin technology for seamless conversion between fiat and digital currencies.
MoneyGram and Stellar Join Forces
This initiative aligns with MoneyGram’s commitment to enhancing cross-border remittance and payment settlements. The wallet will enable users to transfer digital assets to other users within the same platform. To maximize the utility of digital assets, users can convert their assets into cash at any MoneyGram partner facility.
The wallet will incorporate global compliance screening tools to ensure secure and safe digital asset transactions. Unlike many non-custodial wallets where users manage funds independently, MoneyGram’s offering will incorporate comprehensive “know-your-customer” protocols and will be compatible exclusively with other MoneyGram wallets.
This venture is a continuation of MoneyGram’s ongoing engagement in the crypto space and its collaboration with the Stellar blockchain. Over the past half-decade, the company has undergone a digital transformation to counter perceptions of being overshadowed by cashless products.
The new wallet will allow users to deposit cash, hold it as USDC, and decide when to convert it into another currency. This feature could be especially beneficial for those seeking to protect against inflation or exchange rate fluctuations.
Since introducing its digital asset-fiat on/off-ramp services in 2022, MoneyGram has extended these services to eight digital wallets on the Stellar network. This expansion enables consumers in over 180 countries to cash out and those in over 30 countries to cash in.
Initially, the non-custodial wallet will be available only in countries with KYC capabilities. According to Holmes, approximately 40 countries currently have the capacity for a digital KYC process. He stated,
“We’re transforming MoneyGram into a global ATM concept using blockchain.”
