The Money Transfer Company Set to Soar

Jack Ma is one of the most successful businessmen in the world. 

He’s worth $51 billion. 

And he’s from China… Trump’s No. 1 enemy. 

So when the White House recently squashed Ma’s big plans to do big business in the U.S., few folks in the know were surprised. 

But here’s the story nobody has dared put on paper. 

It’s a deep look into what really went down between Trump and China’s third-richest man… and the huge profit opportunity that the president seemed to make for his closest political allies. 

Trump Beats China

You see, in early 2017, Ma made a move to buy the huge cash transfer company MoneyGram International (Nasdaq: MGI). After Ma and his business created China’s version of Amazon, the $1.2 billion deal would have helped them corner the global payment business… and eventually the global retail business.  

Shares of MoneyGram surged on the news. 

Suddenly investors were sitting on shares that were worth two or three times as much as they were just months before. 

Things were good. 

But remember, Trump hates China. 

He doesn’t want it getting our jobs… our money… or our companies. 

And with this huge buyout, it would have gotten all three. 

So in early 2018, Trump and his team quietly stomped out the deal. They claimed their move was in the interest of national security. 

Shares of MoneyGram plunged. 

After hitting a high of more than $16 in late 2017, shares trade for about $3 today. 

Clearly, Trump owes the company and its shareholders something. 

That’s why it’s quite interesting that less than two weeks after Trump busted the deal… MoneyGram announced it was now working with USACoin – aka Ripple. 

Trump’s Real Border Fight

The story is fascinating. 

Trump killed the deal between Ma and MoneyGram, and almost instantly, MoneyGram turned to the digital currency the president seems to like so much. 

The money transfer company is using XRP (the official name for Ripple’s cryptocurrency) to move funds across the globe.

The rationale is simple. 

Unlike bitcoin transfers that cost $30 or more per transaction, XRP is cheap. Each move costs just fractions of a penny. 

And where bitcoin transfers take many minutes or even hours to complete, XRP can go from one account to another in just a couple of seconds… less time than it takes to read this sentence. 

“The inefficiencies of global payments don’t just affect banks,” said Ripple CEO Brad Garlinghouse. “They also affect institutions like MoneyGram. Money transfer companies are incredibly important because they help people get money to their friends and loved ones.” 

It makes perfect sense why the White House would keep MoneyGram out of China’s hands and instead funnel the money it processes through a crypto like Ripple’s instead. 

It’s all about controlling the flow of money into and out of America.

By keeping MoneyGram domestic and pushing it toward a 100% American crypto, Trump can control one of the largest sources of money flowing out of the U.S. – foreign remittances. 

Remember, Mexico gets more money through U.S. remittances (cash sent via a wire from the U.S.) than through any of its other revenue sources… even oil. 

That’s nuts. It proves just how important this move really is.

We all know what Trump thinks of our relationship with Mexico.  

But here’s the thing.  

Mexico is the No. 1 destination for America’s remittance money… and China is No. 2.  

In other words, by controlling this source, Trump doesn’t need to build a wall. He’s already got his finger on the switch that matters most… money. 

This huge slug of money going over the border not only will make Ripple a huge global currency virtually overnight (everybody will be using it) but also will give Washington and its friends in big business direct control over it. 

Why else would folks like Bill Clinton… Bill Gates… and Gene Sperling be pushing Ripple so hard? And why else would the world’s biggest banks – names like UBS, American Express and JPMorgan Chase – have their fingers all over the American-made technology? 

They know it offers a very real shot at having even more control over the world’s supply of money. 

They know there’s big money in it. 

And now… so do you.

The Big Opportunity

Looking beyond the company’s foray into Ripple, we see that MoneyGram is the ultimate growth story. 

Currently, MoneyGram can send money in more than 200 countries and territories.

Money transfers on MoneyGram’s online and mobile platforms are responsible for 88% of company revenue. MoneyGram now accounts for some 16% of global money transfers around the world.

MoneyGram achieved 106% year-over-year digital transaction growth in the second quarter.

Not bad for a relatively young product offering. 

But perhaps the biggest news is the company’s partnership with Walmart (one of Jack Ma’s biggest retailer competitors, by the way). 

MoneyGram has a huge deal with the world’s top retailer. It’s called Walmart2World, and it allows customers to send money from Walmart to MoneyGram locations throughout the world. 

The benefits for both companies are clear. 

A large chunk of Walmart customers have family members spread across the world. They are in the stores (many even work at the stores), and now they have an easy (and cheap) way to send money to the folks they love. 

“There are millions of people sending money around the world to help loved ones with everyday needs or in times of emergency,” said Walmart Vice President Gregory Foran. “Walmart2World, powered by MoneyGram, helps customers get money to family and friends across the world in minutes, and the new low fees mean more of their hard-earned cash goes where it’s needed most.”

From here, MoneyGram is in a good spot.

It is expanding its digital presence. Its working with some of the strongest partners in the business world. And now it’s getting into the realm of digital currencies. 

And remember, with MoneyGram moving some $25 billion annually, it’s believed the company will need more than $8 billion worth of XRP. 

That’s not just good news for Ripple. It also highlights a great way to use the stock market to make money from the situation. 

It’s quite clear that Trump and his team are rooting for MoneyGram and its newest moneymaking tool, Ripple. 

At a share price of about $3 per share, MoneyGram International is definitely worth your attention.