MoneyGram says blockchain push centers on invisible remittances and MGUSD expansion
MoneyGram says blockchain is best used behind the scenes to speed cross-border transfers, cut costs and support round-the-clock settlement across its payments network.
MoneyGram is positioning blockchain as back-end infrastructure for remittances rather than a consumer-facing product, saying the technology works best when customers simply experience faster, cheaper and more reliable cross-border payments. CEO Anthony Soohoo said the company’s blockchain strategy has evolved from experimentation into a broader effort to modernize global payments infrastructure, with a focus on replacing legacy settlement rails that depend on banking hours and multiple intermediaries. The company, which serves roughly 60 million active customers, says real-time blockchain-based settlement can reduce operating costs and improve transparency, savings it hopes to pass on to users over time; its fees currently start at $1.89 and vary by destination country. That approach aligns with MoneyGram’s recent launch of its USD-backed stablecoin MGUSD on Stellar on June 2, which the company has described as operational plumbing aimed at reducing pre-funding needs and enabling 24/7 settlement rather than competing with USDT or USDC. Stellar remains its core blockchain partner, while MoneyGram has also expanded its footprint through validator roles on Solana and Tempo.
- stablecoin: digital token designed to maintain a fixed value, typically by being tied to a fiat currency
- pre-funding: the practice of holding cash in advance in destination accounts to complete payments or settlements
- validator: network participant that helps confirm transactions and support a blockchain’s operation