MoneyGram stays away from Ripple. Global money transfer service MoneyGram has explained the essence of its partnership with its blockchain affiliate Ripple following the latest U.S. Securities and Exchange Commission investigation.
In a press statement issued on Dec. 23, MoneyGram revealed that it has never utilized Ripple’s counterparty services, namely On-Demand Liquidity (ODL) and RippleNet, for forex transactions.
“As a reminder, MoneyGram does not utilize the ODL platform or RippleNet for direct transfers of consumer funds – digital or otherwise. Furthermore, MoneyGram is not a party to the SEC action.”
The company stated “MoneyGram has continued to utilize its other traditional FX trading counterparties throughout the term of the agreement with Ripple, and is not dependent on the Ripple platform to accomplish its FX trading needs.”
Back in June 2019, Ripple and MoneyGram formed a strategic partnership for cross-border payments. As part of the partnership, Ripple was to invest up to $50 million in exchange for MoneyGram stock. In February, MoneyGram disclosed an additional $11.3 million investment from Ripple. However, Ripple has sold approximately $15 million of its stake in MoneyGram.
MoneyGram’s revelation of not being dependent on Ripple’s services falls in line with previous events. Earlier in the year, the money transfer giant debuted a real-time remittance service based on Visa and not its blockchain partner. Another Ripple collaborator Intermex also revealed back in March that it wasn’t using the company’s platform for remittance in its “core market.”
MoneyGram’s statement is the latest in a series of actions taken by companies with relation to either Ripple or XRP. On Wednesday, investment fund Bitwise Asset Management liquidated its XRP holdings.