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Blockchain technology is fast making moves into the mainstream, and many major blockchain companies are partnering with other big companies in a bid to get ahead of the competition.
One of the leading blockchain and cryptocurrency firms, Ripple Labs, is planning a number of strategic acquisitions and investments which will see the company and its business grow significantly in the next few years.
According to Brad Garlinghouse, CEO of Ripple, his company is growing strongly and currently they are in a position where they feel they should press their advantage.
The company’s Q2 reports show that $251 million worth of Ripple’s native token, XRP, have been sold. This figure is a 48% increase from the native token sales from the previous quarter.
The growth may be attributed to the availability of options to buy the token such as the option to buy Ripple with PayPal. This shows why Garlinghouse feels that his company is in a position of strength and it is only right that they look at growing their business portfolio.
Ripple and Moneygram
Ripple’s intent was made clear through their deal with Moneygram. The crypto company invested $30 million into the money transfer giant and the deal will see Moneygram’s transactions being executed using Ripple’s xRapid.
The investment made by Ripple means that they now own 10% of Moneygram after purchasing shares at $4.10 per share. The deal also gives provision for Ripple to invest an additional $20 million within the next few years if more shares are made available.
Moneygram’s CEO, Alex Holmes, expressed that there is a need to constantly upgrade money transfer systems and Ripple provides such an upgrade. The xRapid platform allows cross border transfers to be done at a much lower cost and with faster speed.
It also allows Moneygram to perform money transfers 24/7 and this will give the global economy increased efficiency. Businesses will benefit from the streamlined liquidity that comes with such a money transfer system.
Currently, the xRapid system is being used to convert USD to Mexican Peso and the USD to Philippine peso, as confirmed by Garlinghouse. The CEO went on to say that Ripple will ramp up the system in 2020, suggesting that they plan to add more currencies and involve more of the world on the xRapid platform.
Ripple a leader in investment
The investments made by Ripple and the deals the company is looking to seal show that they are one of the biggest investors in the blockchain industry. In the first six months of 2019 alone, Ripple has put $1.6 billion into the building of several projects.
The projects are being executed on RippleNet, an autonomous network through which financial institutions can complete transactions.
Garlinghouse says that Ripple Labs has announced about $500 million worth of investments over the past 18 months. These investments have been made into companies and projects that were previously not associated with Ripple Labs. It is quite clear that Ripple has every intention of placing its mark in different industries through these investments.
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