Stellar Development Foundation Makes Investment into MoneyGram

Key takeaways

• Stellar Development Foundation has announced that it has become a minority stakeholder in MoneyGram
• SDF’s partnership with MoneyGram began in 2019, building fintech tools that have helped to unlock greater access to financial services for unbanked and underbanked people around the world
• SDF will take a place on MoneyGram’s Board of Directors, aiming to support the company as it expands its global operations

Stellar Development Foundation (SDF) has announced that it is now a minority investor in MoneyGram, after initially forming a working partnership with the company back in 2019. This is the first investment of its kind from SDF, using funds from its cash treasury to gain a stake in MoneyGram and a seat on its Board of Directors.

SDF hopes to play an important role in shaping the future of MoneyGram (MGI), stating that MGI is “one of the world’s leading global financial technologies that can become a digital-forward leader in fintech.”

MoneyGram is a digital, peer-to-peer payment system that enables its users to transfer fiat currencies using various payment methods, including credit cards, debit cards, or bank accounts. SDF’s long-term partnership with MoneyGram laid the foundation for Stellar to become the leading blockchain network for on-ramps and off-ramps, enabling seamless cash-to-crypto transfers in more than 475,000 locations around the world.

The decision to invest in @MoneyGram was an easy one. After years of getting to know the business and the teams, we are excited to take part in MGI’s next chapter. It’s been an awesome few years working together, and we are excited for what’s next!https://t.co/PYAKHeXRxx

— Denelle Dixon (@DenelleDixon) August 15, 2023

Denelle Dixon, who will represent SDF on MoneyGram’s Board of Directors, stated: “This investment positions SDF to contribute to MGI’s journey, particularly in areas such as expanding its digital business, exploring blockchain technology, and contributing to the many ways in which MGI helps to move and manage money in nearly every country around the world.”

A core aim of Stellar is to enable people in developing countries to have greater access to Decentralized Finance (DeFi). SDF helped develop the infrastructure that enabled MoneyGram Access, and the partnership has aided Stellar in its core aim of helping to bridge the financial services gap for the unbanked.

Dixon went on to say that SDF’s decision to become a minority investor in MoneyGram will help Stellar to “continue to build strong partnerships with organizations across the payments space and put SDF one step closer to achieving our mission of creating equitable access to financial services.”

What is Stellar?

Stellar (XLM) is a digital currency that offers a secure and efficient way to send money across the globe. It was created to make financial transactions accessible to everyone, regardless of their location or financial status.

Boasting low fees and fast transaction times, Stellar has become a leading fintech solution for decentralized financial services. The Stellar network unlocks more efficient cross-border transfers, helping enterprises and individuals alike to access a faster financial system at a reduced cost.

XLM price prediction

The current price of XLM is $0.1295, down 5% in the past 24 hours. XLM is expected to recover from its downtrend, as the CoinCodex price prediction algorithm forecasts a 10.32% gain over the coming 30-day period. This would place XLM at $0.1427 on 15th September 2023.