Payment processing giant MoneyGram is set to launch its own noncustodial crypto wallet, the company’s CEO, Alex Holmes, announced during the Stellar Development Foundation annual Meridian conference.
The noncustodial crypto wallet will be built on the Stellar network and hit the market in the first quarter of 2024. The wallet was created in partnership with Cheesecake Labs and will use the Stellar network and MoneyGram’s fiat on and off-ramp services to facilitate instant transactions. There will be no charge to use it until June 2024.
The wallet will allow users to leverage stablecoin technology to move between fiat and digital currencies, and is intended to strengthen the company’s focus on its core competence of cross-border remittance and payment settlements. Wallet users will be able to send digital assets to other users as well, the company said.
To make the digital assets more useful, MoneyGram wallet users will be able to cash out their assets at any partner MoneyGram facility, the company said, adding that all wallet users will have access to its global compliance screening tools to make way for safer and more secure digital assets transactions.
In recent years, MoneyGram has expanded its services to incorporate the digital asset market and developed its global fiat on and off-ramp service for digital wallets in 2022. Since its launch, the company has expanded its service to eight Stellar network digital wallets. The services allow consumers to cash out in over 180 countries and make cash deposits in over 30 countries.
Stellar, MoneyGram’s partner for its noncustodial wallet, is also a stakeholder in the remittance firm. The Stellar Development Foundation acquired a minority stake in MoneyGram in August, giving the foundation a seat on MoneyGram’s board of directors.
Cointelegraph reached out to MoneyGram for further details but did not receive a reply by publication.