When leading cryptocurrency price aggregation site CoinMarketCap removed South Korean exchanges from its price calculations earlier this week, the prices of many of the major assets in the sector took a hit. Ripple, for instance, announced a major new partnership with MoneyGram that will see the latter pilot xRapid and XRP.
“Ripple is at the forefront of blockchain technology and we look forward to piloting xRapid… We’re hopeful it will increase efficiency and improve services to MoneyGram’s customers,” says Alex Holmes, CEO of MoneyGram.
As the news hit the press, shares of MoneyGram have increased considerably, with the company currently trading for $13.07 a share—up nearly 10% on its close price on Wednesday. Interestingly, however, XRP has so far failed to respond to the news to any substantial degree.
The development is centred on MoneyGram running a pilot program of Ripple’s xRapid technology, which allows for real-time foreign exchange settlement. Ripple has been hard-selling this platform to a host of major banking and financial institutions globally over the last year.
There have been concerns, however, that even if these financial institutions decide to incorporate xRapid into their operations, XRP might not play a part in Ripple’s long-term growth, which makes the MoneyGram partnership significant.