PayPal Introduces Fee-Free Cross-Border Money Transfers Using PYUSD Stablecoin
PayPal has announced a new feature that allows U.S. users to fund cross-border money transfers using USD converted from its native stablecoin, PayPal USD (PYUSD).
The service, powered by PayPal’s money transfer platform Xoom, enables users to send money to friends and family in approximately 160 countries without incurring any Xoom transaction fees.
Key points:
- U.S. users can now fund cross-border money transfers using USD converted from PayPal USD (PYUSD).
- The service is available through PayPal’s Xoom platform and covers approximately 160 countries.
- Transactions funded using PYUSD will have no Xoom transaction fees.
- Xoom will convert PYUSD to USD with no crypto sale fee, and recipients will receive funds in the selected fiat currency.
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PayPal U.S. Users Can Now Send Funds Abroad with No Xoom Transaction
The introduction of this new funding option comes at a time when consumers are actively seeking cost-effective solutions for cross-border payments. When a U.S. user selects the option to fund a cross-border money transfer using PYUSD, Xoom will convert the stablecoin to USD currency without charging a crypto sale fee.
Following that, the recipient will receive the funds in the fiat currency that the sender has chosen. This ensures a smooth and convenient transaction for both parties.
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Jose Fernandez da Ponte, Senior Vice President of the Blockchain, Cryptocurrency, and Digital Currency Group at PayPal, emphasized the company’s objectives in bringing PayPal USD to market. “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.”
All U.S. users outside the state of Hawaii, where state law prohibits the holding of cryptocurrencies with PayPal, can access the new service. Funds can be sent abroad to a recipient’s bank account, mobile wallet address, or financial institution for pickup.
