This week European markets have welcomed what is being labelled as a potential “Ripple Killer”. Even though Ripple seemed to dominate the future of the remittance market, there are many competitors such as Xoom giving them a proper battle.
Payment giant, PayPal, is now expanding its mobile payment app called Xoom across 32 countries around the EU. European users are now able to send money to over 130 different markets, as well as receive funds from other Xoom users around the globe.
Regarding the announcement, the Chief Executive of Paypal, D. Schulman commented:
“We know how important these money transfers are in the lives of millions of people, and how crucial it is that money arrives swiftly so it can be used for things that matter. With Xoom, someone with a smartphone on a bus in London, Paris or Berlin can send money that can be accessed quickly in Mumbai, Lagos or Nairobi to pay for a family member’s medical emergency or urgent financial needs.”
Xoom promises to be Ripple’s biggest competitor, as the app includes attractive features such as fast speed and cost-effective transactions. The launching came along with the announcement of several partnerships with banks and financial intermediates in the region, which allow Xoom users to send up to £8,000 per transaction.
If you are wondering what the differences between Paypal and Xoom and the truth is that Xoom’s fees are not even close to the fees requested by PayPal for each transaction. If you are using PayPal and you want to send money to the EU, a single transaction may cost you around $9, while with Xoom it may cost you between $3 and $4. Also, Xoom cannot be used to send funds to individuals living in America.
Some of the countries where Xoom is going to be available are Austria, France, Germany, Italy, Spain, Portugal, India, Pakistan, Nigeria, Kenya, Poland, China, UK and Belgium.
Image c/o Xoom