Ripple’s Chief Technology Officer (CTO), David Schwartz, shared on X the story of how MoonPay received a massive helping hand from Ripple and Galaxy Digital. The CTO reposted the entire video on his X account stating “So I guess this is public now.” In the video, Keith Grossman, the President of MoonPay shared the story on a podcast revealing how Ripple’s CEO Brad Garlinghouse and Galaxy Digital’s CEO Mike Novogratz lent MoonPay $160 million in USDC.
The Launch of the Trump Coin
It was the weekend right before Trump’s inauguration and the Trump Coin had just launched and skyrocketed. The token had reached a market cap of $4.6 billion within an hour of its launch and this just indicates how popular the token had become.
There was an unexpected surge in its demand because the Trump’s team had partnered with Moonshot, and MoonPay is the exclusive payment processor for this platform. MoonPay was surprised by the sudden surge in demand, and they did not have enough money available to facilitate these transactions. To make things worse, the money they did have was tied up in accounts with BlackRock and it could not be accessed since it was a weekend.
Mike Novogratz Sent In $100 Million
By Saturday morning, MoonPay urgently needed $50 million, but the price quickly escalated to $100 million. The team had a word with Mike Novogratz and he agreed to pay the requested amount. Galaxy Digital sent in the first $100 million required by MoonPay.
Little did Moonpay know that by Sunday morning the platform would need another $60 million to make the cut as the $MELANIE token had also launched soon after the launch of the $TRUMP token.
Ripple CEO Brad Garlinghouse to the Rescue
Ivan, the CEO of MoonPay decided to contact Brad Garlinhouse. So the team reached out to Ripple’s CEO at 7 am in the morning. Garlinghouse immediately responded and said that he would talk to his Chief Legal Officer and see what can be done. Garlinghouse also asked Grossman to get the approval of Novo’s team since they made the payment the night before.
Now Brad Garlinghouse becomes the knight in a shining armor here and arranged a creative funding solution. Ripple wired funds to Galaxy which then sent them to MoonPay. This quick thinking and powerful alliance helped MoonPay stabilize its operations.
Despite all the chaos, all the loans were paid off by Tuesday afternoon as MoonPay restored access to its capital. Grossman expressed his deep gratitude to Novogratz and Garlinghouse. The President of the exchange jokingly also offered to donate a kidney to either of them if needed. This situation just indicates how fast-paced the crypto industry is and how powerful alliance can help you during the time of crisis.
Also Read: SEC’s Response to Coinbase Appeal: A Potential Turning Point for Defining Crypto Securities
Source: https://www.cryptonewsz.com/ripple-galaxy-digital-sent-money-to-moonpay/