Stellar Foundation Eyes MoneyGram Takeover

Jul 22, 2021 | Decrypt News | 0 comments

stellar-foundation-eyes-moneygram-takeover

Stellar Development Foundation, a non-profit organization supporting the development and growth of the Stellar network, has tentatively contacted MoneyGram International about a potential takeover, Bloomberg reported on Wednesday.

Citing unnamed people familiar with the matter, Bloomberg claims that Stellar is working on the potential acquisition in partnership with Advent International, a Boston-based private equity firm specializing in international buyouts.

According to the report, no final decision has been reached so far. Both Stellar and Advent could opt to not proceed with a deal, the sources added.

Stellar is a crypto network focused on cross-border payments, much in the same vein as MoneyGram. It was co-founded by Jed McCaleb, who also founded Ripple and its XRP token. The network’s native currency, XLM, is the 17-largest cryptocurrency by market cap at press time.

On the back of the news of Stellar’s potential takeover of MoneyGram, the price of XLM has soared by an impressive 13.3% in the last 24 hours.

Founded in 1940, MoneyGram is one of the largest U.S. money remittance companies. The firm is no stranger to the crypto space either–in the past, it has worked with Ripple.

In November 2019, Ripple acquired a 10% stake in Moneygram after investing $50 million in the money transfer service.

Ripple Deal with MoneyGram Officially Over: CEO Garlinghouse

However, in February 2021 the partnership between the two companies came to an end after the U.S. Securities and Exchange Commission (SEC) launched an investigation against Ripple, claiming that the firm’s sales of XRP were unregistered securities offerings.

Prior to that, MoneyGram was an acquisition target for the rival remittance provider Western Union and Chinese financial services conglomerate Ant Group.

News Source from Decrypt.co

Related Articles

Number of Cryptocurrency ATM Locations Soars Past 24K Worldwide

Number of Cryptocurrency ATM Locations Soars Past 24K Worldwide

The number of cryptocurrency ATMs has surpassed 24,000 globally. Out of 75 countries with crypto ATMs, the U.S. tops the list with the most locations. 24K+ Cryptocurrency ATMs Worldwide The number of cryptocurrency ATMs has exceeded 24,000 globally, according to the...

Here are the 12 biggest crypto hires thus far in 2021

Here are the 12 biggest crypto hires thus far in 2021

Quick Take There has been a big increase in the flow of talent from Wall Street to the crypto world. We take a look at the 12 biggest moves that have happened so far this year. This feature story is available to subscribers of The Block Daily. You can continue reading...

Crypto Companies Establish Presence, Hire Talent in Ireland

Crypto Companies Establish Presence, Hire Talent in Ireland

With a friendly attitude towards financial innovation, the Republic of Ireland has become a desired destination for fintech businesses that need unimpeded access to the common European market. Cryptocurrency companies have been opening offices in the EU member state...

Pin It on Pinterest

Share This