Arab Press

بالشعب و للشعب
Friday, Jun 20, 2025

PayPal is focusing on moving into China and launching Venmo's first credit card

PayPal is focusing on moving into China and launching Venmo's first credit card

This story was delivered to Business Insider Intelligence Payments & Commerce subscribers earlier this morning.

The company's total payments volume (TPV) reached $178.7 billion, growing 27% year-over-year (YoY) on a constant currency basis, per its earnings release.

This marks the seventh consecutive quarter in which TPV grew between 25% and 27% on an annual basis. Meanwhile, its number of active accounts jumped 16% YoY to total 295 million, which is the eighth straight quarter where the metric's annual growth came in between 15% and 17% YoY, highlighting PayPal's consistent strong growth.

The company is now embarking on two key initiatives - its move into China via its acquisition of GoPay and its forthcoming Venmo credit card - that could cause its performance to surge in the future.

Becoming the first foreign online payment platform in China should enable it to boost its TPV and account number, both in China and abroad. Taking a 70% stake in GoPay, which is licensed for online and mobile transactions, gives PayPal the ability to reach China's domestic and international payments industries in a way other foreign companies can't. It may have trouble breaking into the domestic industry because of established players like UnionPay, WeChat Pay, and Alipay, but cross-border payments and e-commerce may be a valuable opportunity.

For example, PayPal could enable Chinese consumers to make purchases from its international merchants and help Chinese merchants sell abroad, CEO Dan Schulman said on the company's earnings call. Such efforts might bring more merchants, consumers, and volume into PayPal's ecosystem, propelling its performance to new heights. The cross-border opportunity for PayPal may be massive considering China's cross-border e-commerce imports were reportedly worth 1.9 trillion yuan ($269 billion) alone in 2018, which would enable PayPal to build on the $31 billion in cross-border trade TPV it posted in Q3 2019.

The introduction of Venmo's credit card in 2020 could help PayPal better monetize its peer-to-peer (P2P) payments platform. Venmo's TPV continues to rise - it surpassed $27 billion in Q3 2019, growing 64% YoY - and 35% of its users have used one of its monetized actions. However, it still needs to improve since it may not be profitable yet.

The launch of Venmo's first consumer credit card, which will be issued by Synchrony, could help this process by giving Venmo new revenue opportunities that would make it more valuable to PayPal's overall performance. It's not guaranteed to succeed, though, since the card will need to attract consumers, who could be using any number of competing cards, so the formulation of its rewards program and recruitment strategy will be key in determining how the initiative fairs for PayPal.


Want to read more stories like this one? Here's how to get access:

1.Sign up for Payments & Commerce Pro, Business Insider Intelligence's expert product suite keeping you up-to-date on the people, technologies, trends, and companies shaping the future of consumerism, delivered to your inbox 6x a week. 

2.Join thousands of top companies worldwide who trust Business Insider Intelligence for their competitive research needs. 

3.Explore related topics in more depth.

4.Current subscribers can log in to read the briefing here.

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
G7 Leaders Fail to Reach Consensus on Key Global Issues
Mass exodus in Tehran as millions try to flee following Trump’s evacuation order
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Netanyahu Signals Potential Regime Change in Iran
Analysts Warn Iran May Resort to Unconventional Warfare
Iranian Regime Faces Existential Threat Amid Conflict
Energy Infrastructure Becomes War Zone in Middle East
Iran Conducts Ballistic Missile Launches Amid Heightened Tensions with Israel
Iran Signals Openness to Nuclear Negotiations Amid Ongoing Regional Tensions
Shock Within Iran’s Leadership: Khamenei’s Failed Plan to Launch 1,000 Missiles Against Israel
UK Deploys Jets to Middle East Amid Rising Tensions
Exiled Iranian Prince Reza Pahlavi Urges Overthrow of Khamenei Regime
Wreck of $17 Billion San José Galleon Identified Off Colombia After 300 Years
Iran Launches Extensive Missile Attack on Israel Following Israeli Strikes on Nuclear Sites
Israel Issues Ultimatum to Iran Over Potential Retaliation and Nuclear Facilities
Coinbase CEO Warns Bitcoin Could Supplant US Dollar Amid Mounting National Debt
Trump to Iran: Make a Deal — Sign or Die
Operation "Like a Lion": Israel Strikes Iran in Unprecedented Offensive
Israel Launches 'Operation Rising Lion' Targeting Iranian Nuclear and Military Sites
Israeli Forces Intercept Gaza-Bound Aid Vessel Carrying Greta Thunberg
IMF Warns of Severe Global Trade War Impacts on Emerging Markets
Syria to Reconnect to Global Economy After 14 Years of Isolation
Saudi Arabia Faces Uncertainty Over Succession After Mohammed bin Salman
Israel Confirms Arming Gaza Clan to Counter Hamas Influence
Majority of French Voters View Macron's Presidency as a Failure
U.S. Reduces Military Presence in Syria
Trump Demands Iran End All Uranium Enrichment in Nuclear Talks
Iran Warns Europe Against Politicizing UN Nuclear Report
Businessman Mauled by Lion at Luxury Namibian Lodge
Paris Saint-Germain's Greatest Triumph Is Football’s Lowest Point
OPEC+ Agrees to Increase Oil Output for Third Consecutive Month
Turkey Detains Istanbul Officials Amid Anti-Corruption Crackdown
Meta and Anduril Collaborate on AI-Driven Military Augmented Reality Systems
EU Central Bank Pushes to Replace US Dollar with Euro as World’s Main Currency
European and Arab Ministers Convene in Madrid to Address Gaza Conflict
Head of Gaza Aid Group Resigns Amid Humanitarian Concerns
U.S. Health Secretary Ends Select COVID-19 Vaccine Recommendations
Trump Warns Putin Is 'Playing with Fire' Amid Escalating Ukraine Conflict
India and Pakistan Engage Trump-Linked Lobbyists to Influence U.S. Policy
U.S. Halts New Student Visa Interviews Amid Enhanced Security Measures
Trump Administration Cancels $100 Million in Federal Contracts with Harvard
SpaceX Starship Test Flight Ends in Failure, Mars Mission Timeline Uncertain
King Charles Affirms Canadian Sovereignty Amid U.S. Statehood Pressure
Iranian Revolutionary Guard Founder Warns Against Trusting Regime in Nuclear Talks
×