Ripple, MoneyGram to 'Wind Down' Partnership

This ends an agreement the two companies had put on hold in February.

By Kevin Reynolds

Mar 8, 2021 at 9:35 p.m. UTC

Updated Sep 14, 2021 at 12:23 p.m. UTC

Kevin Reynolds

Ripple Labs said it and MoneyGram have decided to wind down their partnership agreement.

This ends an agreement the two companies had put on hold in February.

Under terms of the agreement that was put on hold and is now ending, Ripple had been paying MoneyGram to use the XRP token in international settlement since 2019 and first engaging in a pilot agreement with the service in 2018. Since then, MoneyGram had netted $61.5 million in “market development fees” from Ripple.
Shares of MoneyGram dropped in after-hours trading, down 7%.
The agreement was put on hold after U.S. Securities and Exchange Commission sued Ripple saying XRP is an unregistered security in violation of U.S. investments law. Ripple is fighting those assertions.

Ripple said the two sides are "committed" to revisiting their relationship in the future.

This story is developing and will be updated.

Read more about

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.