MoneyGram CEO provided a short review of the renowned financial institution’s first experience with Ripple’s XRP (XRP). The CEO, Alex Holmes, praised the XRP speed in cross-border payments. He also presented one downside that’s affecting the crypto token worldwide – lack of global liquidity.
XRP (XRP) Speed Praised By MoneyGram CEO
“Ripple has large distributed blockchain technology and an interesting crypto coin like XRP can cross borders in seconds. What they don’t have is pools of global liquidity in fiat currency,” said Alex Holmes in an interview with Gulf Business.
Holmes continued by stating that the MoneyGram system enjoys “pools of money across the world,” but its speed “is only enabled by the ability to pre-fund and move money in advance.”
“One system [XRP] is really fast but lacks liquidity, the other [MoneyGram] has massive amounts of liquidity but is inherently slow,” Alex Holmes added.
Ripple and MoneyGram teamed up in July when Ripple purchased MoneyGram shares in the value of $30 million. Ripple has the additional option to buy an extra $20 million worth of shares in two years.
Cryptocurrency, Especially XRP (XRP), Could Threat Cash Markets
Alex Holmes also stated that, in the long run, cryptocurrency might become a real competitor for cash markets. XRP is, at the moment, the most significant threat to cash markets.
“If cryptocurrency can translate into fiat currency, it can be disruptive to cash markets. Most governments understand that, but most governments fear that too,” said Alex Holmes.
“As much as governments don’t like having cash in the system, they’re also worried about crypto which isn’t a currency of their country – a scary thought for central banks and governments who wonder how can they control and run a country if they don’t have control over their currency,” the MoneyGram CEO continued.
In the end, we have to mention that MoneyGram has introduced and already uses the Ripple’s XRP (XRP)-based platform for fast and secure cross-border payments.
