Moneygram International Inc. (NASDAQ: MGI) announced Wednesday that the company “has completed a strategic minority investment in Coinme, a leading cryptocurrency cash exchange in the U.S.” This venture gives Moneygram an approximate 4% ownership stake in Coinme.
Alex Holmes, Moneygram chairman and CEO, commented:
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.
The investment by Moneygram will support Coinme’s international expansion plans and other growth initiatives.
Founded in 2014, Coinme currently operates in 48 states with plans to expand internationally in the near future. Coinme has partnered with Coinstar, a popular automated service for those who want to turn their fiat coins into paper cash, to enable bitcoin purchase at over 21,000 Coinstar kiosks. Moneygram serves nearly 150 million people around the world over the last five years.
Moneygram and Coinme share a “vision to expand access to digital assets and cryptocurrencies,” the announcement details.
The Moneygram CEO added:
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.
“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,” he continued.
Moneygram announced in May that the two companies plan “to create a crypto-to-cash model by building a bridge to connect bitcoin to local fiat currency.” The partnership allows Moneygram to let customers buy and sell bitcoin at 12,000 locations.