London Daily

Focus on the big picture.
Tuesday, Jun 02, 2026

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

0:00
0:00
Close
Japanese Technology Firm Fujitsu Launches Advanced Artificial Intelligence Tool for Corporate Disclosures
South Africa Officially Launches Nationwide Campaign for Highly Contested Local Government Elections
United Kingdom Commits Additional Funding for Unexploded Ordnance Clearance in Laos
Singapore Announces Stringent New Greenhouse Gas Regulations for Commercial Cooling Systems
Cambodia and Thailand Hold High-Level Border Security Talks at United Nations Headquarters
Myanmar Military Government and China Sign Major Agreement to Upgrade Media and Cultural Cooperation
Knife Attack at Swiss Train Station Leaves Three Injured in Suspected Act of Domestic Terrorism
Transnational Extortion Gang Threatens Canadian Police With Army of One Thousand Armed Operatives
Australia Imposes Forty-Two-Day Quarantine on Cruise Ship Passengers Following Deadly Hantavirus Outbreak
International Monetary Fund Unlocks Seven Hundred Million United States Dollars for Sri Lanka Following Economic Reforms
Australia Launches Record One Point Four Billion Dollar Lawsuit Against Chemical Giant 3M Over Contamination
China and Canada Foreign Ministers Meet in Ottawa in Effort to Stabilize Strained Diplomatic Ties
Indonesia Demands Urgent United Nations Security Council Reform Amid Escalating Global Conflicts
Extreme Weather Patterns Trigger Severe Drought in Madagascar and Destructive Flooding in East Africa
Indian State of Karnataka Faces Political Upheaval as Chief Minister Siddaramaiah Abruptly Resigns
Philippines and Japan Reaffirm Defense Ties as Crucial for Indo-Pacific Regional Stability
Norway Joins French Nuclear Deterrence Initiative in Major Shift for European Security Architecture
Global Critical Mineral Alliances Expand as Western Nations Move to Counter Chinese Supply Dominance
United States Imposes Fifty Percent Tariffs on Mexican Steel and Aluminum Ahead of Trade Pact Review
European Union and China Head Toward Major Trade Conflict Over Clean Technology Exports
United States Economic Growth Severely Downgraded to One Point Six Percent as Stagflation Fears Mount
World Health Organization Warns Central African Ebola Epidemic is Outpacing Containment Efforts
United States Treasury Department Conditions Sanctions Relief on Reopening of the Strait of Hormuz
Iranian Air Defenses Intercept and Destroy United States Military Drone Over Bushehr Province
Iranian Armed Forces Launch Ballistic Missiles Toward Unspecified Targets Prompting Regional Condemnation
United Nations Secretary-General Warns Global Order Facing Highest Level of Conflict Since 1945
Israel Issues Sweeping Evacuation Orders in Southern Lebanon Amid Intensified Hezbollah Conflict
Russia Announces Systemic Military Strikes Targeting Ukrainian Defense and Energy Infrastructure
United States and Iranian Negotiators Reach Draft Agreement to Extend Ceasefire and Resume Nuclear Talks
United Nations Security Council Deeply Divided Over United States Capture of Venezuelan President
US and Iran Exchange Direct Military Strikes Amid Fragile Gulf Ceasefire
World Health Organization Warns of Catastrophic Ebola Outbreak in DR Congo
Russia Threatens New Wave of Strikes on Ukrainian Infrastructure and Embassies
Scientists Warn Atlantic Ocean Currents Could Collapse Faster Than Projected
Anthropic Reaches $900 Billion Valuation in Historic AI Funding Round
Washington Imposes Crippling Sanctions on Iranian Maritime Authority
Japan and the Philippines Initiate Strategic Intelligence-Sharing Pact
Microsoft Deploys Autonomous Computer-Using AI Agents to Global Markets
Anthropic Secures $45 Billion Compute Infrastructure Agreement With SpaceX
U.S. Director of National Intelligence Resigns Amid Administration Shakeup
Micron Technology Crosses Trillion-Dollar Valuation Amid Unprecedented Hardware Demand
Canada and Germany Finalize Historic Long-Term LNG Export Agreement
China Expands International Travel Restrictions on Domestic AI Researchers
Japan Approves Sweeping Overhaul of National Intelligence Apparatus
Global Airlines Scramble Logistics as Middle East Airspace Remains Fractured
Japan's Naphtha Imports Plunge 47 Percent Amid Strait of Hormuz Closure
Global Crude Prices Retreat Below $96 as Gulf Tensions Momentarily Ease
Generative AI Outperforms Human Baselines in Landmark Global Creativity Study
NASA Partners With Private Aerospace to Unveil Permanent Lunar Base Architecture
South Korean Equity Markets Surge on Next-Generation Memory Chip Frenzy
×