MoneyGram International, Inc. today announced that it has completed a strategic minority investment in Coinme, the leading cryptocurrency cash exchange in the United States. As a result, this gives MoneyGram an approximate 4% ownership stake in Coinme, closes out Coinme's Series A financing round, and provides MoneyGram with a direct ownership position in one of the first and fastest growing cryptocurrency companies in the world.
MoneyGram is leading the evolution of digital P2P payments. With a purpose-driven strategy to mobilize the movement of money, a strong culture of fintech innovation, and leading customer-centric capabilities, MoneyGram has grown to serve nearly 150 million people around the world over the last five years.
Coinme operates a leading licensed cryptocurrency cash exchange in the U.S., founded in 2014 with a mission to be the world's most trusted gateway to digital currencies and a better financial future. Through partnerships with Coinstar and MoneyGram, Coinme enables thousands of physical locations in 48 states to facilitate the cash purchase and sale of Bitcoin.
"At MoneyGram, we continue to be bullish on the vast opportunities that exist in the ever-growing world of cryptocurrency and our ability to operate as a compliant bridge to connect digital assets to local fiat currency. Our investment in Coinme further strengthens our partnership and compliments our shared vision to expand access to digital assets and cryptocurrencies," said Alex Holmes, MoneyGram Chairman and CEO. "Our unique cash-to-bitcoin offering with Coinme, announced in May of 2021, opened our business to an entirely new customer segment, and we couldn't be more pleased with our progress. As we accelerate our innovation efforts, partnerships with startups like Coinme will further our position as the industry leader in the utilization of blockchain and similar technologies."
MoneyGram announced its original partnership with Coinme in May 2021 to create a crypto-to-cash model by building a bridge to connect Bitcoin to local fiat currency. The partnership further expanded access to Bitcoin by creating thousands of new point-of-sale locations to buy and sell the popular cryptocurrency. MoneyGram and Coinme have additional initiatives in the pipeline that are expected to continue to increase the value of the partnership.
"We see this as an incredible opportunity to continue our strong growth and build on our leading presence in the world of crypto," said Neil Bergquist, Coinme CEO. "With MoneyGram's global network and infrastructure, both the Company's continued partnership and strategic investment will help us accelerate our growth and international expansion."
Holmes concluded: "We are thrilled to expand our relationship with Coinme, and this strategic investment will further support our growth strategy with strong financial upside."
© 2022, Eva Fox | Tesmanian. All rights reserved.
We appreciate your readership! Please share your thoughts in the comment section below.
About the Author
Eva Fox joined Tesmanian in 2019 to cover breaking news as an automotive journalist. The main topics that she covers are clean energy and electric vehicles. As a journalist, Eva is specialized in Tesla and topics related to the work and development of the company.