PayPal Expands Cross-Border Payments via Xoom, Allowing Partners to Use PYUSD for International Money Transfers

Xoom is a digital money transfer service owned by PayPal that allows users to send money, pay bills, and reload mobile phones across the globe.

PayPal is expanding its cross-border payments capabilities through Xoom, enabling partners to utilize PayPal USD (PYUSD) for international money transfers.

Xoom, a digital money transfer service owned by PayPal, allows users to send money, pay bills, and reload mobile phones globally. Launched in 2001 and acquired by PayPal in 2015, Xoom aims to provide a fast, easy, and reliable platform for international fund transfers, particularly remittances sent by individuals to friends and family in other countries.

With a presence in over 160 countries, Xoom offers a wide range of financial services. Users can transfer money directly to bank accounts, cash pick-up locations, or mobile wallets. It also supports utility bill payments and mobile phone top-ups in select countries, serving as a versatile platform for financial transactions.

According to PayPal, Cebuana Lhuillier in the Philippines and Yellow Card in Africa will be the first partners to adopt this new integration, leveraging faster and more affordable transactions enabled by blockchain technology.

This integration aims to promote financial inclusion by providing greater access to digital financial tools for people in the Asia-Pacific and Africa regions. It will also allow PayPal to process cross-border transactions without being limited by traditional banking hours.

Highlighting the importance of cross-border transactions for economic growth in developing nations, Jose Fernandez da Ponte, PayPal’s Senior Vice President of Blockchain, Cryptocurrency, and Digital Currencies, explained that this partnership will make international money transfers more seamless by combining PayPal's advanced payment systems and blockchain technology.

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“This collaboration will strengthen our mission to reach underserved communities and promote financial inclusion in the Philippines,” said Jean Henri Lhuillier, the CEO of Cebuana Lhuillier.

In Africa, PayPal has deepened its partnership with Yellow Card, the continent’s largest stablecoin payment platform.Commenting on the partnership, Chris Maurice, the CEO of Yellow Card, said that this initiative will allow PayPal customers to send money quickly and at lower costs to African countries, with funds being deposited directly into local bank or mobile money accounts.

These developments follow an earlier PayPal initiative in the U.S., where Xoom users can fund international money transfers using PYUSD with no transaction fees. Part of PayPal, Xoom simplifies sending money, paying bills, and reloading phones for users in over 160 countries.