The news: PayPal debuted PayPal links, a new peer-to-peer (P2P) payment request method available for US consumers.
The links will roll out in the UK, Italy, and other markets later this month, per a press release.
How it works:
- Users enter the details of their payment request and create a unique, one-time link in the PayPal app.
- Links can be dropped into text threads, direct messages (DM), emails, or chats with a personalized note or emoji.
- Recipients can tap the link to complete or accept payment in the PayPal app.
- Links expire after 10 days. Senders can issue reminders to recipients or cancel payments and requests from the app.
How we got here: PayPal launched PayPal World in July, in an effort to link major international payment systems and digital wallets through one central PayPal ecosystem.
With PayPal links, international users can resolve money transfers across borders through text, chat, DM, or email powered by PayPal World’s interoperability.
Why this matters: PayPal is trying to increase its visibility as a one-stop shop for payments with the PayPal Everywhere marketing campaign, which links should help accelerate.
This also puts PayPal back on par with message-enabled payments that competitors like Apple and Stripe already possess with Apple Cash and Text to Pay.
Our take: When PayPal bought Venmo, it prioritized growing that brand’s P2P clout in the US rather than absorbing it into the PayPal brand. Making a new, more convenient P2P payment method available only on PayPal and not Venmo could be a sign the company is trying to reestablish PayPal’s perception as a financial “everything” app rather than just its strong association as an ecommerce payment method.
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