Xoom Enables Partners to Use PayPal USD for Faster Cross-Border Payments
by BD Banks
PayPal has announced that its disbursement partners can now use PayPal USD (PYUSD) to settle cross-border money transfers via Xoom, its digital remittance platform.
Xoom, a PayPal service, offers digital remittance services in over 160 countries, providing users with a convenient platform to send money, pay bills, and reload phones.
This move aims to reduce the cost and increase the speed of international money transfers by leveraging blockchain technology.
Cebuana Lhuillier in the Philippines and Yellow Card in Africa will be the first Xoom partners to integrate PYUSD, enhancing financial inclusion in these regions.
A micro-financial services provider in the Philippines, Cebuana Lhuillier brings an extensive network of 3,500 branches and 25,000 partner agents to the partnership.
With an 18-year collaboration with PayPal, the company will now enable faster and more cost-effective remittance services for Filipinos worldwide, particularly across the Asia-Pacific region.
Jean Henri Lhuillier
“PayPal’s payment services, our extensive rails with PDAX and Philippine banks, and our vast network of physical touchpoints enable us to deliver to last mile areas that are in need of support.
With this upcoming collaboration, we’ll continue to drive financial inclusion and help more Filipinos.”
said Jean Henri Lhuillier, President and CEO of Cebuana Lhuillier.
Yellow Card, Africa’s largest licensed stablecoin on/off-ramp fintech, will also leverage PYUSD to facilitate transactions.
Its integration with Xoom will enable PayPal customers to send funds to African bank accounts or mobile money services efficiently.
Yellow Card CEO Chris Maurice highlighted the transformative potential of stablecoin-based payment rails in optimising cross-border transactions.
This initiative builds on PayPal’s earlier decision to allow U.S. Xoom users to fund fiat transfers abroad with PYUSD, with no transaction fees.
PayPal USD, issued by Paxos Trust Company, is fully backed by U.S. dollar reserves, Treasuries, and cash equivalents.
It is accessible via PayPal and Venmo at a fixed rate of US$1 per PYUSD.
Jose Fernandez da Ponte
“Cross-border transactions are an important driver for economic growth and prosperity in developing countries.
With this step, Xoom and its partners, like Cebuana Lhuillier and Yellow Card, will be able to leverage PayPal’s payment technologies and the blockchain to further enable seamless money transfers across borders.”
said Jose Fernandez da Ponte, Senior Vice President of Blockchain, Cryptocurrency, and Digital Currencies, PayPal.
