MoneyGram Validates Solana
MoneyGram Expands Blockchain Role, Becomes Solana Validator Amid Continued Stablecoin Strategy
Key Points
MoneyGram’s move to Solana represents its “first formal engagement” with the Solana ecosystem after about five years building crypto infrastructure on other networks—shifting the company “from blockchain user to blockchain operator at the protocol level.”
Solana Developer Platform was described as “AI-ready” and “API-driven,” and the announcement places MoneyGram alongside enterprise names such as Mastercard, Worldpay, and Western Union in Solana’s enterprise stack.
MoneyGram said Solana is now its third network with an official validator, alongside Tempo and the Midnight Network—expanding the firm’s validator footprint beyond a single blockchain.
Beyond launching MGUSD on Stellar, MoneyGram outlined details of its broader stablecoin stack: MGUSD was built with partners including “Stripe-owned Bridge, Crossmint, Fireblocks, M0, and Stellar,” and it also “recently expanded its off-ramp services through a partnership with crypto exchange Kraken.”
MoneyGram has become an active validator on the Solana blockchain, staking SOL, processing transaction blocks, and directly helping secure the network's infrastructure crypto.news. The move marks the remittance giant's first formal engagement with Solana after five years of building crypto tools on other networks — shifting it, as CoinGape put it, "from blockchain user to blockchain operator at the protocol level."
MoneyGram also joined the Solana Developer Platform as an early institutional adopter, placing it alongside Mastercard, Worldpay, and Western Union in Solana's enterprise stack Crypto Times. CEO Alex Holmes said the company is "not treating blockchain as an end in itself, but as a way to make money movement faster and more accessible."
MoneyGram Now Runs Its Third Blockchain Validator
Solana is now the third network where MoneyGram operates an official validator, joining Tempo and the Midnight Network Finance Feeds. As a validator, MoneyGram stakes SOL — committing real capital — and takes turns producing and signing transaction blocks. That means it earns staking rewards and transaction fees, turning what was once a cost into a potential revenue stream.
Holmes framed the step as a responsibility, not just a business move. "As adoption grows, institutions have a responsibility to contribute to the security and resilience of these networks," he said Blaze Trends. Solana Foundation President Lily Liu called it a shift from "theoretical interest" to "infrastructure reality," noting that MoneyGram's global scale gives the network real operational weight.
A Five-Year Crypto Journey That Landed on Solana
MoneyGram's blockchain story started in 2019 with a high-profile Ripple partnership that ended in 2021 after the SEC sued Ripple. The company then turned to Stellar, launching a cash-to-USDC service in 2022 and its own dollar-pegged stablecoin, MGUSD, in May 2024 crypto.news. Solana is the next logical step — a network known for high throughput and fees as low as $0.00025 per transaction, compared to $15–$30 for a typical SWIFT wire transfer.
MoneyGram built MGUSD with a stack of partners including Stripe-owned Bridge, Crossmint, Fireblocks, M0, and Stellar Crypto Times. It also recently expanded off-ramp services through a deal with crypto exchange Kraken. The Solana move adds a faster, higher-capacity rail on top of that existing infrastructure — not a replacement for it.
Lower Fees Could Slash the 6.35% Global Remittance Cost
The average global remittance costs about 6.35% of the amount sent, according to World Bank data. MoneyGram serves roughly 150 million customers worldwide. By routing transfers through Solana's near-zero-cost rails, the company could sharply cut settlement costs while keeping or growing its own margins Blaze Trends. Traditional SWIFT transfers rely on correspondent banks — middlemen that add both time and fees.
The Solana Developer Platform is described as "AI-ready" and "API-driven" CoinGape. That means MoneyGram can plug compliance tools, customer verification, and payment logic directly into the blockchain layer. A customer in London could send funds that arrive instantly as MGUSD in a digital wallet in Manila — with MoneyGram itself validating the transaction.
Critics Warn Institutional Validators Could Censor Transactions
Not everyone sees the move as purely positive. Some DeFi advocates worry that "KYC-heavy" institutions like MoneyGram joining Solana's validator set could push the network toward permissioned layers — meaning some transactions could be flagged or blocked at the protocol level. Solana has also faced past criticism over network outages, which skeptics argue make it too unreliable for global remittance volumes Finance Feeds.
Regulators face new questions too. If a validator is also a licensed money transmitter, does running blockchain code count as financial intermediation? MoneyGram's move puts that question directly in front of the SEC and FinCEN. For now, MoneyGram is pressing ahead — and traditional rivals like Wise and Revolut are watching closely crypto.news.
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