Stellar Lumens
XRP Rival Stellar Lumens (XLM) Acquires Stake in Cash Transfer Giant MoneyGram Via Foundation
The foundation behind XRP rival Stellar (XLM) is acquiring a minority stake in the payments giant MoneyGram International (MGI). In a new blog post, the chief executive of the Stellar Development Foundation (SDF), Denelle Dixon, says the Foundation is using cash from its treasury in a go-private transaction with the private equity firm Madison Dearborn […]
The post XRP Rival Stellar Lumens (XLM) Acquires Stake in Cash Transfer Giant MoneyGram Via Foundation appeared first on The Daily Hodl.
Stellar dips into treasury to buy minority stake in MoneyGram
The financial details weren't disclosed but the investment gave the Stellar Development Foundation a seat on MoneyGram's Board of Directors.
The Stellar Development Foundation (SDF) has become a minority investor in payments provider MoneyGram International.
In an Aug. 15 X post, Stellar Development Foundation CEO and Executive Director Denelle Dixon announced the new investment saying the decision to provide funds to MoneyGram “was an easy one.”
In an accompanying blog post, Dixon added the investment was made out of the SDF's own cash treasury using assets set aside to support the operations of the Foundation. This was used instead of Stellar’s Enterprise Fund used to invest in startups and earlier-stage companies.
The decision to invest in @MoneyGram was an easy one. After years of getting to know the business and the teams, we are excited to take part in MGI’s next chapter. It’s been an awesome few years working together, and we are excited for what’s next!https://t.co/PYAKHeXRxx
— Denelle Dixon (@DenelleDixon) August 15, 2023
While Dixon did not divulge financial details, she did state the investment gave SDF a seat on MoneyGram's Board of Directors.
She explained the investment positions from SDF will contribute to MoneyGram by expanding its digital business and exploring blockchain technology.
“Most importantly, it signifies a rededication from MGI, one of the world’s leading global financial technology, to becoming a digital-forward leader in fintech.”
The Stellar Development Foundation established a commercial partnership with MoneyGram in 2021 but has been collaborating on tools and technology with the firm since 2019.
In November 2022, MoneyGram enabled United States-based users to buy, sell and hold cryptocurrency via its mobile app.
In July 2023, the firm announced a new account deposit service for consumers in Venezuela through its partnership with local bank Banesco.
Related: Stellar partners with UNHCR to give Ukrainian refugees cash via USDC
Stellar’s native token Stellar (XLM) did not register a reaction to the announcement, dropping 4.4% on the day to $0.129 at the time of writing, according to Cointelegraph price data.
XLM got a lift following Ripple’s partial court victory but has declined 28% since then and remains down 85% from its January 2018 all-time high of $0.875.
Journeys: Hervé Larren on Bitcoin, Apes and the psychology of ‘blue-chip’ NFTs
US needs to regulate stablecoins to keep a strong dollar: Stellar CEO
The United States and the greenback will suffer if stablecoin regulations are not rolled out this year, Stellar Development Foundation's chief has claimed.
United States financial regulators are tightening their grip on the crypto industry and the U.S. dollar has also been under pressure with countries distancing themselves from dollar hegemony, but the chief of Stellar says stablecoin regulation may solve that.
In an April 11 Bloomberg interview, Denelle Dixon, the CEO and Executive Director of the Stellar Development Foundation spoke about the prospects of regulating dollar-pegged digital assets in the U.S.
Dixon said she was very optimistic that there would be some form of stablecoin regulation in the U.S. by the end of the year because “they want to set the standard.”
“If we want a strong U.S. dollar globally, a USD stablecoin is the way to see that happen.”
President Joe Biden’s administration has already highlighted the need for a stablecoin regulatory framework, but Dixon said that needs to be pushed through Congress.
“If we don’t do something in the U.S., we’re going to be in this bifurcated world where we have legislation outside the U.S. that’s friendlier to crypto," Dixon said, adding:
"There will be companies outside the U.S. and there will still be the issue that U.S. consumers will want to leverage this technology.”
Dixon was optimistic about stablecoin regulation “only because we don’t have a choice” saying the focus should be more on the utility and value to users than on the tech stack.
“Stop talking about the technology and start demonstrating the utility,” she added.
"Stop talking about the technology and start demonstrating the utility." - @DenelleDixon on @BloombergLive
— Stellar (@StellarOrg) April 11, 2023
Stellar is a decentralized cross-border payments network powered by the Lumens (XLM) token. It was created as a modified fork from Ripple’s codebase in 2014.
Related: Stablecoins are solution to crypto’s banking problem, exec says
Stablecoins currently represent around 10.5% of the entire crypto market capitalization with $133 billion in circulation. Dixon hinted that it was paramount that stablecoins are regulated and accepted in America as the vast majority of them are pegged to the U.S. dollar.
Market leader Tether (USDT) has issued $14 billion in USDT so far this year, strengthening its market share to 60% with a circulation of $80 billion.
The gains come at the expense of Circle’s USD Coin (USDC) and Binance’s Binance USD (BUSD) stablecoins, both of which have seen considerable declines in supply this year.
Magazine: Unstablecoins: Depegging, bank runs and other risks loom
Trader Who Nailed 2022 Bitcoin Collapse Predicts Big Correction for XRP, Updates Outlook on Two Low-Cap Altcoins
The crypto analyst who accurately predicted Bitcoin’s (BTC) crash this year says XRP is likely due for an over 50% decline. The psuedonymous analyst known in the industry as Capo tells his 541,600 Twitter followers that open-source digital currency XRP remains in a downtrend despite its recent rally. According to a chart shared by Capo, […]
The post Trader Who Nailed 2022 Bitcoin Collapse Predicts Big Correction for XRP, Updates Outlook on Two Low-Cap Altcoins appeared first on The Daily Hodl.
Robinhood Abruptly Adds Support for Ethereum Rival Avalanche (AVAX) and XRP Competitor Stellar (XLM)
Retail trading giant Robinhood just announced that it now supports Ethereum challenger Avalanche (AVAX) and XRP rival Stellar (XLM) as the two altcoins enjoy rallies this month. In an announcement via Twitter, the retail trading giant says that AVAX and XLM are now live on the Robinhood platform. Both coins have been outperforming much of […]
The post Robinhood Abruptly Adds Support for Ethereum Rival Avalanche (AVAX) and XRP Competitor Stellar (XLM) appeared first on The Daily Hodl.
Stellar Foundation Joins Effort To Create Digital Currency Pilot Project in Brazil
The Stellar Development Foundation (SDF) is partnering with a leading crypto exchange as part of a wide-ranging test program seeking to expand Brazil’s blockchain industry. In a new press release, Stellar says it was selected along with the Mercado Bitcoin exchange as one of nine participants in the Challenge Real Digital project. The project was […]
The post Stellar Foundation Joins Effort To Create Digital Currency Pilot Project in Brazil appeared first on The Daily Hodl.
Two Altcoins Are Soaring After Surprise Listings on Crypto Exchange Binance
A low-cap altcoin built on the Stellar (XLM) blockchain is rallying after receiving surprise support from Binance. In a new announcement, the global crypto exchange says that privacy-focused MobileCoin (MOB) will begin trading on its platform. According to the project’s website, “MobileCoin is a security-focused cryptocurrency that addresses four fundamental issues: security, transaction speed, energy […]
The post Two Altcoins Are Soaring After Surprise Listings on Crypto Exchange Binance appeared first on The Daily Hodl.
Ripple Competitor Announces Plans To Roll Out Smart Contracts in 2022
Ripple competitor Stellar (XLM) is announcing plans to roll out smart contracts later this year. Stellar Development Foundation (SDF) ecosystem head Justin Rice says smart contracts will enable a new suite of products and services on Stellar. “There’s a lot of work to be done to get there, but at SDF we’re committed to researching […]
The post Ripple Competitor Announces Plans To Roll Out Smart Contracts in 2022 appeared first on The Daily Hodl.
Grayscale confirms Bitcoin ETF plans and adds exposure to Zcash, Stellar Lumens and Horizen to its trusts
Grayscale said it would proceed "once there’s official and verifiable evidence of the SEC’s comfort with the underlying Bitcoin market."
Institutional asset manager Grayscale has announced it will be converting its GBTC Trust into an exchange-traded fund (ETF) once the United States Securities and Exchange Commission (SEC) has “comfort” with recently-approved Bitcoin futures ETFs.
In a Monday Twitter thread, Grayscale communications director Jennifer Rosenthal said the asset manager would proceed with offering an ETF when “the SEC has formally expressed their requisite comfort with the underlying Bitcoin market.” The offering would convert the asset manager’s Grayscale Bitcoin Trust (GBTC), first listed in 2013, into an ETF.
“Once there’s official and verifiable evidence of the SEC’s comfort with the underlying Bitcoin market — likely in the form of a Bitcoin Futures ETF being deemed effective — the NYSE Arca will file a document called the 19b-4 to convert $GBTC into an ETF,” said Rosenthal.
The announcement follows ProShares announcement that its Bitcoin (BTC) futures-linked ETF will begin trading on the New York Stock Exchange under the ticker BITO starting Oct. 19. Filings with the SEC show the regulator has also accepted the registration request for shares of Valkyrie’s Bitcoin Strategy ETF to be listed on the Nasdaq and may accept others in the near future — the SEC currently has several crypto ETF applications under review.
Related: Grayscale adds SOL and UNI to Digital Large Cap Fund portfolio
Grayscale also added three cryptocurrencies available for trading through its suite of crypto investment trust products. The firm said its Grayscale Zcash Trust, Grayscale Stellar Lumens Trust and Grayscale Horizen Trust were now listed on the OTCQX Best Market under the ticker symbols ZCSH, GXLM and HZEN, respectively.
According to Grayscale, the three trusts are not subject to registration and disclosure requirements from the SEC. The vehicles provide a way for investors to gain exposure to the tokens without directly investing in them. Grayscale offers six other crypto investment products with exposure to Bitcoin (BTC), Ether (ETH), Bitcoin Cash (BCH), Ethereum Classic (ETC) and Litecoin (LTC), in addition to a basket of cryptocurrencies through its Digital Large Cap Fund.