The Ripple price (XRP/USD) has seen a sharp increase following news that the world’s second-largest money transfer company MoneyGram will start using the XRP token international payments.
According to a press release published yesterday, MoneyGram will pilot XRP in its payment flows. The money transfer company will access and use the token through xRapid, Ripple’s on-demand liquidity product. As part of this agreement, both companies will also explore MoneyGram's integration into Ripple's ecosystem through xVia.
“By using a digital asset like XRP that settles in three seconds or less, our clients can move money as quickly as information,” Ripple’s chief executive officer, Brad Garlinghouse, said in a statement.
MoneyGram’s CEO Alex Holmes said that his company was “looking forward to piloting xRapid”. “We're hopeful it will increase efficiency and improve services to MoneyGram's customers," Holmes added.
The development follows last week’s comment by Ripple that “3 of the top 5 global money transfer companies plan to use XRP in payment flows in 2018”, which was meant to address the growing concerns over the lack of use of Ripple’s native token.
The Ripple price spiked after yesterday’s announcement, rising from $1.75 to an intraday high of $2.25 in minutes. The digital cryptocurrency eventually retreated to a close of $1.95.
In today’s trading, the Ripple price stood at $2.03, as of 10:08 GMT. The digital coin has gained 13.7% in the past 24 hours, according to data from cryptocurrency tracker Coinmarketcap. Its total market capitalisation currently stands at $78.7 billion.
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