Quote:Cryptocurrency company Ripple on Monday announced a major partnership with MoneyGram, which will see the money transfer service use the digital currency XRP as part of its day-to-day operations.

Under the terms of the deal, Ripple will pay $4.10 cents a share to acquire an 8% to 10% stake in MoneyGram. This translates into a $30 million investment, and also gives MoneyGram the option for another $20 million cash infusion in the next two years.

For San Francisco-based Ripple, the deal will provide an unprecedented opportunity to make the case that its product called X-Rapid, which allows for the transfer of XRP, is superior for moving money across borders. Ripple has long argued that banks should use XRP as a form of bridge currency, rather than leaving money tied up as collateral in foreign accounts.