PayPal has partnered with Xoom to facilitate cross-border payments using its stablecoin, PayPal USD (PYUSD). This collaboration aims to expand access to PYUSD in Asian and African markets, enabling PayPal to settle cross-border transactions outside of traditional banking hours.
Xoom is working with Cebuana Lhuillier and Yellow Card to handle PYUSD disbursements. Launched in 2023, PYUSD is a 1:1 US dollar-backed stablecoin issued by Paxos Trust Company.
It is an Ethereum-compatible ERC-20 token and the only stablecoin supported on PayPal’s payment rails. PayPal believes that stablecoins like PYUSD are transforming the payment landscape, and by integrating its technology, it will enable more efficient money movement.
This partnership with Xoom will allow PayPal to leverage the cost and speed advantages of blockchain technology for cross-border transactions, making them quicker to process and less expensive.
