2024-11-20
November 19, 2024 – PayPal has unveiled a groundbreaking integration of its stablecoin, PayPal USD (PYUSD), with Xoom, its digital remittance service.
The initiative aims to streamline cross-border money transfers, providing speed and cost advantages through blockchain technology.
PayPal has announced that it will be
using its Xoom service to enable cross-border payments with its stablecoin,
PayPal USD (PYUSD). This partnership aims to expand access to PYUSD in Asian
and African markets, allowing for faster and more cost-effective transactions.
Xoom will work with Cebuana Lhuillier
in the Philippines and Yellow Card in Africa to handle PYUSD disbursements.
This move is expected to drive financial inclusion by providing more widespread
access to digital financial solutions.
Cebuana Lhuillier, the largest
micro-financial services provider in the Philippines, and Yellow Card, Africa's
foremost licensed stablecoin on/off-ramp platform, are the first partners to
leverage PYUSD for settlement via Xoom.
Xoom: Revolutionizing Global
Remittances
Xoom, a PayPal service, offers fast,
reliable digital remittance solutions, enabling customers to send money, pay
bills, and reload phones in over 160 countries. With this integration, Xoom
enhances its capability to make cross-border payments quicker and less costly,
driving greater financial inclusion in Asia-Pacific and Africa.
"Cross-border payments are vital
for economic development," said Jose Fernandez da Ponte, Senior Vice
President of Blockchain, Cryptocurrency, and Digital Currencies at PayPal.
"By integrating PYUSD with Xoom, we are enabling faster, seamless money
transfers to underserved regions."
Partnering for Financial Inclusion
Cebuana Lhuillier: With 3,500
branches and 25,000 partner agents in the Philippines, Cebuana Lhuillier will
use Xoom and PYUSD to deliver money to remote areas, continuing its mission of
supporting Filipino communities globally.
Yellow Card: As Africa's
leading stablecoin payments platform, Yellow Card will facilitate transfers
from PayPal customers directly to local bank or mobile money accounts across
the continent.
Chris Maurice, CEO of Yellow Card,
emphasized, "PayPal's integration of PYUSD with Xoom brings unparalleled
efficiency to money transfers, leveraging stablecoin technology to transform
the payments landscape."
Faster, Cost-Efficient Transfers
Xoom users can now benefit from PYUSD’s
stability and blockchain efficiency, offering quicker settlements without being
constrained by traditional banking hours. In April, PayPal introduced fee-free
international transfers using PYUSD for U.S. customers, a capability now
expanding globally.
About PYUSD
PayPal USD is fully backed by U.S.
dollar reserves, ensuring its stability. Issued by Paxos Trust Company, PYUSD
is redeemable at a rate of $1 per unit and available on PayPal and Venmo.
PYUSD currently has $521 million in
market cap.
This integration solidifies Xoom's role
as a pioneer in digital remittances and demonstrates PayPal's commitment to
modernizing global payment systems for a more inclusive financial future.
