Cash transfer company MoneyGram International (MGI) has made a strategic minority investment in cryptocurrency cash exchange company Coinme, giving it a 4% ownership stake, MoneyGram announced in press release Wednesday.
In May, MoneyGram said it would allow customers to buy and sell bitcoin for cash at 12,000 U.S. retail locations through a partnership with Coinme. The two companies have additional initiatives planned to boost the value of their pact, according to Wednesday’s release.
The deal will close Coinme’s Series A funding round, and help support international expansion along with other growth plans.
“We see this as an incredible opportunity to continue our strong growth and build on our leading presence in the world of crypto,” said Neil Bergquist, Coinme’s CEO, in a statement.
“At MoneyGram, we continue to be bullish on the vast opportunities that exist in the ever-growing world of cryptocurrency and our ability to operate as a compliant bridge to connect digital assets to local fiat currency,” said Alex Holmes, CEO of MoneyGram, in a statement. “Our investment in Coinme further strengthens our partnership and complements our shared vision to expand access to digital assets and cryptocurrencies.”