Stablecoin PayPal USD (PYUSD), launched in August 2023, can be used for global money transfers by U.S. users without paying any transaction fees. In a statement, PayPal’s money transfer vertical Xoom said that its stablecoin can be converted to USD to facilitate such transfers.
U.S. users can send money to friends and family members in 160 countries using PYUSD from their account on PayPal Cryptocurrency Hub. When sending money through PayPal, they should choose PYUSD as the funding source. The recipients will receive the money in USD.
Jose Fernandez da Ponte, Senior Vice President of PayPal’s Blockchain, Cryptocurrency, and Digital Currency Group, Said, “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.”
In September 2023, PayPal offered seamless buying and selling of cryptocurrencies in the U.S. to Web 3 merchants by integrating them into its platform. It allowed direct conversion of cryptocurrencies to USD from wallets. The move was targeted at wallets, dApps, and NFT marketplaces.
PayPal’s money transfer service is available for domestic and global transactions. Sending money to friends and family can be free if it is within the same country and when no currency conversion is involved. For other transactions, PayPal charges 2.99% to 4.00% of the amount sent and a fixed fee that varies depending on the currency.
