MoonPay Receives $200 Million Revolving Credit From Galaxy
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MoonPay has announced a $200 million credit line it secured from Galaxy. This has been dubbed as one of the biggest credit lines in the crypto industry, and it’s coming when the industry is witnessing a surge in momentum. The credit line, according to MoonPay, will enable the firm to position itself to solidify its role in the global digital economy.
MoonPay says the investment will enable the firm to get ready for increased liquidity demands and transaction volume. It will also enhance better service delivery to its user base.
MoonPay Says It Wants To Meet Liquidity Demand
Chief Executive Officer of Galaxy, Mike Novogratz, commented on the development. He noted that Galaxy has demonstrated its commitment to driving growth and widening access in the digital asset ecosystem. He added that projects like these are important for the continued maturity and expansion of the industry, as both platforms look forward to their ongoing partnership.
Chief Executive Officer of MoonPay, Ivan Soto-Wright, also commented on the development. He stated that the recent increase in crypto demand on the platform shows the critical importance of scalable and robust infrastructure.
The additional investment from Galaxy will offer financial flexibility that will deliver an excellent user experience while meeting the increased demand for crypto assets. He added that the platform is excited about its partnership with Galaxy as it continues to support the company’s growth in the digital asset industry.
MoonPay Completes Iron Acquisition
The revolving credit is coming at a time when MoonPay is expanding its services and offerings. This month, the platform completed its acquisition of an API-first stablecoin infrastructure, Iron. The acquisition, according to MoonPay will enable the business to excel in borderless transactions, offer low-cost payment services, and accept stablecoin payments. This gives users more payment options.
The onslaught of demand for crypto products following President Trump’s election means many firms had to scramble for additional investment to meet demand. MoonPay says it wants to be more prepared in case of any similar event in the future.
The firm initially received $160 million from XRP-focused companies Ripple and Galaxy. The additional $200 credit line comes as MoonPay continues to plan for the future market boom in the crypto space.
MoonPay says the credit line will increase its liquidity, allowing it to better handle higher liquidity demand and transaction spikes. Despite ending 2024 profitably, MoonPay says it decided to accept the credit line for its expansion and future liquidity needs.
