The remittance giant acquired a 4% stake in Coinme to support the bitcoin exchange’s growth plans.
MoneyGram acquired a 4% stake in Coinme. The money transfer company said the investment will support growth plans for exchanging bitcoin for cash. Coinme currently operates in 48 US states and aims to expand internationally.
Remittance giant MoneyGram has acquired a minority stake (4%) in the bitcoin-to-cash currency Coinme, according to a press release on Wednesday. The investment closes Coinme’s Series A funding round with the aim of furthering its international expansion plans and helping MoneyGram bridge the gap between the bitcoin and fiat worlds.
“At MoneyGram, we remain optimistic about the vast opportunities that exist in the growing world of cryptocurrencies and our ability to act as a compatible bridge to connect digital assets to local fiat currency,” said MoneyGram President and CEO Alex Holmes. he said in a statement. “Our investment in Coinme further strengthens our partnership and complements our shared vision of expanding access to digital assets and cryptocurrencies.”
In May, the money transfer company partnered with Coinme to bring in bitcoin kiosks to select physical MoneyGram locations in the US, expanding Coinme’s reach and facilitating personal bitcoin purchases across the country.
“Our unique bitcoin cash offering with Coinme, announced in May 2021, has opened our business to a whole new customer segment and we couldn’t be more pleased with our progress,” added Holmes.
The previous year, the kiosk operator partnered with Coinstar, a collaboration that spurred “strong momentum and national growth” of Coinme’s core encryption business in just a few months, resulting in one of the most successful quarters of the year. Company until then.
MoneyGram’s investment comes after Coinme was selected in November as the winner of the Deloitte Technology Fast 500 and named the fastest growing company in Washington State and the 78th in North America. Founded in 2014, Coinme said it currently has operations in 48 US states.
“With MoneyGram’s global network and infrastructure, both the company’s ongoing partnership and strategic investment will help us accelerate our international growth and expansion,” said Neil Bergquist, CEO of Coinme, in a statement.