PayPal Announces Xoom App to Compete With Ripple

PayPal launches a new application for fast and cheap payments worldwide. The application is called Xoom and, if successful, it can become a real competitor to Ripple.

Xoom will have a ready-made user base at its disposal: the customers use PayPal services worldwide, and the application brings a new degree of functionality to what the company already provided.

Initially, Xoom will work for users in 32 European countries, all of whom can send money to users across 130 countries worldwide. Against the backdrop of competition with Ripple, Xoom has partnered with large financial institutions to facilitate transfers of up to £8,800 pounds [$11,029] per transaction.

It is not yet announced, which technology is the core for Xoom. With the app, PayPal aims to remake the traditional payment services sector by providing faster and cheaper international transfers. An online payment service provider seeks to make transactions easier and more convenient than Ripple, charging lower transaction fees. It is unclear if this service can actually provide such speeds and fees, but that is the apparent intention.

Иллюстрация: PayPal