Xoom users will pay no transaction fees
when using PayPal USD to fund eligible transfers to friends and
family abroad
SAN
JOSE, Calif., April 4,
2024 /PRNewswire/ -- Xoom, PayPal's cross-border
money transfer service, announced today that U.S.
users1 now have the option to fund money transfers
to friends and family abroad using USD converted from PayPal USD
(PYUSD), a U.S. dollar-denominated
stablecoin2. Rolling out to customers in
the U.S. starting today, the new funding option will allow U.S.
Xoom users to easily convert the PYUSD in their linked PayPal
Cryptocurrency Hub to USD and use that as a funding
source to send money to recipients in approximately 160
countries globally with no Xoom transaction fees.3
Xoom's new option comes at a time when consumers are seeking
cost-effective options for cross-border payments. According to the
World Bank's Q3 2023 report, the global average cost of sending
$200 is just over 6%. With no Xoom
transaction fees,3 cross-border money transfers
funded using USD converted from PYUSD provides a lower cost option
on Xoom.
By introducing the option to fund cross-border money transfers
with USD converted from PYUSD, Xoom now offers an easy and reliable
way for U.S. users to send money abroad using PYUSD as a
funding source. When this option is selected, Xoom will
convert the PYUSD in a U.S. user's PayPal
Cryptocurrency Hub to USD currency with no
crypto sale fee, and recipients will receive funds in
the fiat currency selected by the sender.
"When we decided to bring PayPal USD to market, we had two
objectives we wanted to achieve: create something that had a stable
value to maximize user confidence and ensure it had utility for
commerce and payments," said Jose Fernandez
da Ponte, Senior Vice President of the Blockchain,
Cryptocurrency, and Digital Currency Group, PayPal.
"Enabling U.S. users of Xoom the option to fund cross-border money
transfers using PYUSD builds on our goal of driving mainstream
adoption of cryptocurrencies while also offering an
easy way to securely send money to friends and family at a lower
cost."
How to Fund Xoom Transactions using PYUSD
U.S. Xoom users1 with a sufficient PYUSD balance in
their PayPal Cryptocurrency Hub to cover an eligible
Xoom transaction will be able to select PYUSD to fund their
transfer when using Xoom.com, PayPal.com, and the PayPal app. Users
interested in funding transactions using PYUSD on Xoom can do so by
following a few simple steps:
- Tap the "Send Money" button
- Select the destination country
- Choose how the money will get to your recipient (options vary
by country)
- Enter your recipient's account or mobile wallet information, or
choose a pickup location, and add your recipient's personal
information
- Select PYUSD as your way to pay and confirm the sale of
your PYUSD to USD to cover your Xoom transaction (the USD sale
proceeds will go to your PayPal Balance and be used to complete the
transaction)
- Review the details of your Xoom transaction and slide
to send (recipients will receive funds in the fiat currency
selected by the sender)
Transactions that are not completed in USD are subject to a
transaction exchange rate, which includes a currency conversion
spread.
A pioneer in digital remittances, Xoom is a fast and easy way to
send money, pay bills and reload phones for friends and family in
approximately 160 countries globally. With Xoom, customers can
access a fast and reliable way to send money, by simply downloading
the Xoom or PayPal mobile app, or visiting Xoom.com or
PayPal.com.
About PayPal
PayPal has been revolutionizing commerce globally for more than 25
years. Creating innovative experiences that make moving money,
selling, and shopping simple, personalized, and secure, PayPal
empowers consumers and businesses in approximately 200 markets to
join and thrive in the global economy. For more
information, visit https://www.paypal.com, https://about.pypl.com/ and https://investor.pypl.com/.
PayPal, Inc. is licensed to engage in virtual currency business
activity by the New York State
Department of Financial Services. Buying, selling, transferring,
and holding cryptocurrency with PayPal is not
available in Hawaii and where
prohibited by law.
- PayPal USD is not currently available to residents of
Hawaii.
- Issuance of and custody of PayPal USD is performed by Paxos
Trust Company, LLC. Learn more in PayPal's
Cryptocurrency Terms, and in the Paxos
Terms that also apply to PYUSD.
- Transactions received in a currency other than USD are
subject to an exchange rate, which includes a spread.
CONTACT: Reema Nimkar,
rnimkar@paypal.com
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SOURCE PayPal Holdings, Inc.