MARKETAPPLICATION

Purchasing for collaboration only to be dumped! Ripple partner MoneyGram: We immediately sell XRP tokens upon receipt.

share
Purchasing for collaboration only to be dumped! Ripple partner MoneyGram: We immediately sell XRP tokens upon receipt.

MoneyGram, one of the main partners of Ripple, recently revealed that it has sold $11.3 million worth of XRP tokens received from Ripple.

Table of Contents

Pay for Adoption

It was previously reported that as part of a commercial agreement between SpeedSend and Ripple, Ripple paid $11.3 million to the remittance company MoneyGram for market development fees to promote the adoption of its On-Demand Liquidity (ODL) platform.

In simple terms, Ripple's ODL platform achieves real-time settlement efficiency by converting the sender's currency into XRP tokens, transferring them via XRP, and converting them into the target currency.

With Ripple's efforts to promote the widespread adoption of the ODL platform, MoneyGram as a partner can develop foreign exchange markets and provide liquidity, further expanding the ODL platform into foreign exchange trading activities. Therefore, Ripple is willing to pay $11.3 million (in XRP) as its market development fee.

XRP Continues to Face Selling Pressure

According to the latest documents from the SEC, MoneyGram stated that it received XRP from Ripple, and blockchain media outlet The Block pointed out that a MoneyGram spokesperson revealed that all XRP tokens received from Ripple were immediately liquidated.

The partnership between MoneyGram and Ripple was announced in June last year. At that time, Ripple made a $50 million investment in MoneyGram for this collaboration, including purchasing new shares of the company at $4.10 per share.

Ripple's ongoing selling controversy is well-known. It was previously reported that Ripple CEO Brad Garlinghouse claimed in an interview with the Financial Times on February 28 that "if we stopped selling XRP tokens, we would not be able to maintain profitability or positive cash flow. I think I've mentioned this before."

Fortunately, according to Ripple's Q4 2019 report, Ripple claims to have suspended "programmatic" sales from its escrow accounts and is focusing only on over-the-counter (OTC) sales with specific strategic partners.

Related Articles

  • Ripple CEO: Without Selling XRP, Our Company Can't Make Money
  • Digital Gold Dominance Shifts! XRP Surpasses Bitcoin with Increased Correlation to Gold Prices

Join Telegram now for the most accurate blockchain news and cryptocurrency updates!