Western Union, the largest player on the international money transfer market, is considering the acquisition of one of its competitors, MoneyGram International, a partner of Ripple as reported by Bloomberg.
According to the news agency, MoneyGram received a proposal, but have not yet made a decision. It is possible that Western Union will refuse a possible deal.
Bloomberg notes that the business of money transfer companies is going through hard times due to the growing popularity of online payments. The competition intensified after the emergence of fintech companies and pressure from the authorities to reduce commissions in the implementation of cross-border transfers.
One of the shareholders of MoneyGram is Ripple, which owns 9.95%. The payment company uses its On-Demand Liquidity solution in cross-border transfers, receiving XRP cryptocurrency as a reward.
Earlier, Western Union tested the possibility of making payments based on Ripple technology. The payment giant also announced its readiness to work with bitcoin and other cryptocurrencies after the use of blockchain becomes a widespread phenomenon