Dive Brief:

• Global money transfer peer-to-peer (P2P) company MoneyGram is launching "MoneyGram as a Service," a B2B business line equipping customers to access the service, the company said in a press release.

• The new service will also make G-Coin digital tokens, a digital title to purchase and sell responsibly sourced gold, available to vendors. 

• "Today, we enter the next phase of our digital transformation as we open our modern, mobile, and API-driven platform to new businesses and use cases by launching MoneyGram as a Service ... In response to strong market demand, we've developed this processing model to provide third-party access to our vast network, and we are thrilled to open our platform to G-Coin," MoneyGram Chairman and CEO Alex Holmes said in the release.

Dive Insight:

Moneygram's announcement enables customers to transfer money to a digital wallet from almost any place in the world, and now, the company will connect customers and vendors from around the world as well.

Vendors who plan to use MoneyGram's API driven platform can access their worldwide network which spans 200 countries across the globe, and is expanding.

Customers can now make or receive payments through G-Coin tokens. The G-Coin is backed by gold and allows people to own, save and spend the coin as a digital fiat currency.

In partnership with the coin's owner and operator, Emergent Technology, G-Coin gives users expanded access to multiple point of sale (POS) locations worldwide.

"We created the G-Coin token to give physical gold utility and make it more accessible to the mass market, both as an alternative store of value as well as a stable medium of exchange," said Brent de Jong, Chairman and Founder of Emergent Technology.

The G-Coin runs on a custom-built blockchain that will help in faster transactions while reigning in money laundering attempts. 

Last year, MoneyGram partnered with Digital Financial Services, to facilitate transactions and transfers across borders involving digital wallets in the United Arab Emirates, which was a breakthrough partnership. 

"The service is planned to be available in select MoneyGram locations across the U.S. beginning in April, with plans to expand to international markets later in 2021," a MoneyGram spokesperson told Payments Dive.

The partnership between MoneyGram and Emergent Technology will allow customers to cash out G-Coin tokens and use them at MoneyGram locations, the spokesperson added.