MoneyGram Expands Blockchain Infrastructure to Streamline Cross-Border Payments

MoneyGram is expanding its blockchain infrastructure to modernize global cross-border payments, moving beyond early experimentation into a core operational strategy. Chief Executive Anthony Soohoo stated the technology is most effective when it remains entirely invisible to the company’s 60 million active customers.

The remittance provider is leveraging distributed ledger technology to bypass traditional banking hours and multiple intermediaries. This shift aims to enable around-the-clock settlement, ultimately lowering back-office expenses that the company intends to pass on to consumers.

"What you're always looking for is how to leverage technology to run your business more efficiently and effectively," Soohoo said. He emphasized that the primary use case must solve customer demands for speed and cost reduction, rather than serving as a consumer-facing novelty.

While the Stellar network has underpinned MoneyGram’s blockchain initiatives for the past five years, the company is now diversifying its footprint. MoneyGram has recently taken on validator roles on both the Solana and Tempo networks to further replace legacy financial rails.

This infrastructure push is closely tied to the company’s MGUSD stablecoin. Rather than targeting institutional crypto traders, the token is designed for vertical integration within MoneyGram’s own payments ecosystem.

"If someone's sending money from MoneyGram to MoneyGram, why shouldn't it be our own coin?" Soohoo asked. He noted that owning this infrastructure grants the firm greater control over future product development, including wallet features and rewards programs.

Soohoo, who joined the company 18 months ago from Walmart, compared the underlying technology to the internal processors of an Apple iPhone. Users do not need to understand the mechanics, he argued, as long as the service reliably delivers faster results.

Currently, MoneyGram’s remittance fees start at $1.89, varying by destination. The company believes that achieving real-time settlement will help customers save time, effort, and money simultaneously.

Looking ahead three to five years, MoneyGram aims to become the primary financial institution for its largely underbanked customer base. Soohoo cautioned that many financial institutions mistakenly treat blockchain as a consumer product rather than a foundational infrastructure upgrade.

"The opportunity with blockchain and digital currencies is actually bigger than I had anticipated," he said. The ultimate goal is to use these backend systems to democratize access to broader financial services.