Xoom, the global money transfer platform under PayPal, has recently announced that users in the United States can now utilize PayPal USD (PYUSD) as a funding method for their transactions.

The platform allows eligible users in the US to convert PYUSD to US dollars before sending money to various countries worldwide, totaling 160 destinations.

PayPal introduced PYUSD, a stablecoin denominated in US dollars, in August 2023 to provide users with a stable and versatile currency option for transactions. When converting PYUSD to USD for cross-border transfers, users will not incur any fees associated with crypto sales or Xoom transactions.

Jose Fernandez da Ponte, SVP of Blockchain, Cryptocurrency, and Digital Currency Group at PayPal, highlighted the company's objectives in launching PYUSD, aiming to build user confidence in a stable currency while enabling seamless utility for commerce and payments.

The adoption of PYUSD by Xoom users in the US aligns with PayPal's commitment to promoting crypto mainstream adoption. This move comes at a time when stablecoins like USDT and USDC are gaining momentum, and Ripple is preparing to introduce its US dollar-pegged stablecoin.

As of now, the stablecoin market boasts a total capitalization of $154 billion, with USDT leading at $106 billion and USDC at $33 billion. PYUSD currently ranks as the twelfth largest stablecoin with a market cap of $190 million.