Xoom.com: The Digital Revolution That Transformed Global Money Transfers

In 2001, amid the dot-com crash, Xoom.com launched with a bold vision: to revolutionize international money transfers by making them as simple as sending an email. Founded by Alan Braverman and Kevin Hartz, the startup aimed to replace outdated systems like Western Union with a seamless online platform. Early on, they faced immense challenges—tech skepticism, failed B2B strategies, and frequent hiring missteps—but found their footing by focusing on user experience and building trust through customer support and real-time alerts. With early backing from Peter Thiel and Sequoia Capital, Xoom survived near-collapse in its early years before scaling globally, expanding from Jamaica and the Dominican Republic to over 150 countries by 2019. Its IPO in 2013 was a roaring success, with shares jumping nearly 60%, but growth stalled due to rising competition and a major fraud incident in 2014 that shook consumer confidence. In 2015, PayPal acquired Xoom for $890 million, seeing it as a strategic gateway into global remittances. Under PayPal, Xoom expanded rapidly, helping reduce transfer fees and meeting critical UN goals for affordable remittances. However, recent years saw Xoom fall into obscurity within PayPal's portfolio, with dormant social media and no mention in earnings calls. In 2023, rumors surfaced that PayPal might sell Xoom under pressure from activist investors. Yet, signs of revival emerged in 2025 with new partnerships, including Tenpay Global, signaling a potential resurgence. Xoom’s story is more than a tech saga—it’s a tale of resilience, disruption, and human impact, touching millions who rely on fast, secure, and affordable ways to send money across borders.

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