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Ripple (XRP) Flexes Weakly Despite $50 Million MoneyGram Deal

Yashu Gola
Ripple (XRP) price made sharp gains immediately after the Moneygram announcement, followed by a corrective retrace. | Source: Shutterstock

By CCN Markets: Blockchain payment company Ripple on Monday announced that it is going to buy up to $50 million worth of stakes in MoneyGram, the second largest money transfer service in the world.

The news helped Ripple’s native token XRP rise by more than 8 percent on the day. The blockchain asset established an intraday high towards $0.463 but, down the road, failed to continue the upside action.

xrp, bitcoin

XRP Drops 7% Despite Positive Market Catalysts | Source: TradingView.com, Coinbase

The XRP-to-dollar exchange rate today corrected by as much as 7.15 percent, falling to an intraday low of $0.430 on Coinbase exchange. As of 0810 UTC, the pair was attempting a modest recovery towards $0.437, which is 4.60 percent higher on a 24-hour adjusted timeframe. That brought XRP’s market capitalization close to $18.46 billion.

Friends Without Benefits

As part of the deal, MoneyGram agreed to integrate XRP in their day-to-day money transfer services. The move could assist Ripple in introducing their token across the 200 countries and territories where MoneyGram currently serves. It also offers an excellent opportunity for Ripple, to benefit from MoneyGram’s remittance operations worth $600 billion.

Read the full story on CCN.com.