Ripple Enhances Its Payment Processing with MoneyGram

The cryptocurrency Ripple has increased its payment processing inroads with further investment into MoneyGram International which is a public company listed in the United States on the Nasdaq stock exchange. MoneyGram are helping to fuel usage of Ripple’s digital currency through the payment processor, and the larger stake is helping to drive this process.

Ripple Increases its Stake in MoneyGram

During the last week of November Ripple announced that it increased its equity stake in MoneyGram International according to the Motley Fool. The company initially invested $30 million in MoneyGram in June. On November 25, Ripple announced that it was investing another $20 million, bringing its stake up to $50 million which is nearly 10% of the company outstanding shares. As part of the deal, Ripple also obtained warrants that give it the right to increase its stake to approximately 15%. A warrant is like an option where the owner of the warrant has the right but not the obligation to purchase shares at a specific price on or before a certain date. Payment processing in other developing countries could enhance cryptocurrency trading in India.

MoneyGram and Ripple are Working in a Partnership

The relationship between MoneyGram and Ripple is symbiotic. While Ripple continues to invest in MoneyGram, MoneyGram is promoting Ripple and its cryptocurrency as the payment method of choice that can be used to transfer payments through the processing company. Ripple uses its XRP digital token to send money globally and instantaneously. Its on demand liquidity has helped MoneyGram process up to 10% of the Mexican peso forex transaction volume. Ripple has MoneyGram are expanding to other areas including Europe and Australia.

According to Ripple the partnership such as the one with MoneyGram is something they are trying to replicate throughout the globe. It has helped increase the volume of transaction for its XRP digital currency which recently rose to new highs above 4 million per day.

XRP is Oversold

Despite rising popularity as a payment processing on demand digital coin, the price of Ripple has slid back to levels not seen since 2017, before the massive run up in the cryptocurrency to $3. Prices hit $0.21 in early December and are currently considered oversold. The fast stochastic, which is a momentum oscillator that measures accelerating and decelerating momentum, is printing a reading of 12, which is below the oversold trigger level of 20 and could foreshadow a correction. While an oversold reading is helpful in determining the next price move, XRP can remain oversold for a while.

The price of XRP moved into oversold territory during the H2 of 2019 in July and remained there until October when the digital coin experience a brief rally. Momentum on XRP on a weekly basis are also negative. The MACD (moving average convergence divergence) histogram is printing in the red with a downward sloping trajectory which points to lower prices for XRP.

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Ripple Enhances Its Payment Processing with MoneyGram Ripple Enhances Its Payment Processing with MoneyGram Reviewed by Crypto Currency on December 06, 2019 Rating: 5

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