The remittances giant acquired a 4% stake in Coinme to support the bitcoin exchange’s growth plans.
- MoneyGram has acquired a 4% stake in Coinme.
- The money transferring company said the investment will support the bitcoin-to-cash exchange’s growth plans.
- Coinme currently operates in 48 U.S. states and aims to expand internationally.
Remittances giant MoneyGram has acquired a minority stake (4%) in bitcoin-to-cash exchange Coinme, according to a Wednesday press release. The investment closes Coinme’s series A financing round with the aim to propel its international expansion plans and help MoneyGram bridge the bitcoin and fiat worlds.
“At MoneyGram, we continue to be bullish on the vast opportunities that exist in the ever-growing world of cryptocurrency and our ability to operate as a compliant bridge to connect digital assets to local fiat currency,” MoneyGram chairman and CEO, Alex Holmes, said in a statement. “Our investment in Coinme further strengthens our partnership and compliments our shared vision to expand access to digital assets and cryptocurrencies.”
In May, the money transferring firm partnered with Coinme to bring bitcoin kiosks to select physical MoneyGram locations in the U.S., expanding Coinme’s reach and facilitating in-person bitcoin purchases across the country.
“Our unique cash-to-bitcoin offering with Coinme, announced in May of 2021, opened our business to an entirely new customer segment, and we couldn't be more pleased with our progress,” added Holmes.
In the previous year, the kiosk operator had partnered with Coinstar, a collaboration that spurred a “strong national momentum and growth” of Coinme’s mainstream cryptocurrency business in just a few months, leading to one of the company’s most successful quarters up to that point.
MoneyGram’s investment comes after Coinme was selected in November as a Deloitte Technology Fast 500 winner 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 U.S. states.
“With MoneyGram's global network and infrastructure, both the Company's continued partnership and strategic investment will help us accelerate our growth and international expansion,” Coinme CEO Neil Bergquist said in a statement.