CEX.io, a leading cryptocurrency exchange, has partnered with financial services giant MoneyGram and the Stellar blockchain to enhance its crypto cash-in and cash-out services. This collaboration is designed to enable seamless conversion between USD Coin (USDC) and physical cash for CEX.io users, offering greater flexibility and accessibility at participating MoneyGram locations.
The partnership will initially focus on users in regions like the European Economic Area (EEA), Africa, and Latin America, with users in Austria, Hungary, Ireland, Lithuania, and Poland already able to convert physical cash into USDC and vice versa. More countries are expected to join the program soon.
Stellar’s Role in Cost-Effective Transactions
Stellar’s blockchain technology will play a key role by enabling efficient, low-cost transactions. Known for facilitating the tokenization of traditional currencies, Stellar will support CEX.io’s fiat-to-USDC and USDC-to-fiat conversions, ensuring smooth, streamlined processes for users at MoneyGram locations.
Arina Dudko, CEX.io’s Head of Corporate Payment Solutions, emphasized the benefits of this partnership, stating, “Our integration with MoneyGram’s cash-to-crypto service, built on the Stellar network, increases the versatility of payment methods available to our six million global users.” Dudko also highlighted that the two-way functionality extends essential services to underbanked or unbanked populations.
Collaboration Amid Growing Stablecoin Development
The partnership comes as Stellar continues to expand its blockchain capabilities. Notably, Stellar is involved in the development of a euro-pegged stablecoin (EURT), led by fintech companies Next Generation and Decta, aligning with the European Union’s Markets in Crypto-Assets (MiCA) regulation, which took effect in July 2024.
This regulatory framework, set to be fully enforced by December 2024, aims to establish clear guidelines for stablecoins and crypto service providers across Europe, further influencing the digital asset landscape.
CEX.io’s Resumption of UK Operations
The news of this collaboration follows CEX.io’s recent resumption of services in the UK. After voluntarily pausing operations due to new crypto financial promotion regulations introduced by the Financial Conduct Authority (FCA) in October 2023, the exchange has now successfully complied with the regulations and resumed its UK offerings.
Stellar Acquires Minority Stake in MoneyGram
Earlier this year, the Stellar Development Foundation (SDF) made headlines by becoming a minority investor in MoneyGram International. This investment, made from SDF’s cash reserves, underscores Stellar’s commitment to expanding its influence in the payments space. Additionally, the foundation announced the deployment of smart contracts on the Stellar network in February, with a $100 million funding initiative to encourage developers to adopt its Soroban smart contract platform.
With this partnership, CEX.io, MoneyGram, and Stellar are set to revolutionize the crypto-to-cash experience, further integrating the worlds of traditional finance and decentralized finance (DeFi).
