Remitly Partners with Etsy to Power Global SMB Payouts Across 15 Countries

Remitly Global has partnered with Etsy to integrate its money movement platform into Etsy Payments across 15 countries. This move signals Remitly’s strategic pivot from consumer remittances into the B2B marketplace sector, offering small and medium-sized enterprises (SMEs) more flexibility in how they manage cross-border earnings and currency conversion.

What was announced

Remitly has been selected as an additional payment provider for Etsy Payments, the primary financial infrastructure for the Etsy marketplace. This integration is set to launch this fall, specifically targeting new international sellers who are opening shops in select countries. During the onboarding process, these entrepreneurs will have the option to designate Remitly as their primary payout provider.

The partnership is currently slated for rollout across 15 countries. For the creative entrepreneurs using the platform, the service offers a significant degree of financial control. Sellers receiving payouts through Remitly will have the ability to hold their earnings in USD. This allows them to wait for favorable exchange rates before converting funds into their local currencies. Once converted, the income can be deposited directly into local bank accounts or mobile wallets, leveraging the infrastructure Remitly has built for its consumer-facing remittance business.

This collaboration represents Remitly’s first major foray into the marketplace sector. By moving beyond individual peer-to-peer transfers, the company is positioning its global payment network as a tool for small and medium-sized businesses. The goal is to provide a dependable payout mechanism that utilizes the local banks and digital wallets that sellers in these 15 countries already use for their daily financial activities.

"Etsy is Remitly’s first marketplace partner and a model for what's ahead: taking the payment network that millions of receivers already trust and putting it to work for businesses."

Ankur Tiwari, VP and General Manager of Remitly Business.

The companies involved

Remitly Global, Inc. (NASDAQ: RELY) is a prominent provider of cross-border financial services. While historically known for its consumer remittance products, the company has been evolving into a more diversified financial services provider. Its global money movement platform currently spans more than 175 countries, providing a massive infrastructure for international transfers. This network is designed to transcend traditional borders, offering a digital-first alternative to legacy wire services that millions of customers already use.

Etsy (NYSE: ETSY) operates a global marketplace focused on handmade, vintage, and creative goods. The company has built a significant ecosystem for creative entrepreneurs, and its Etsy Payments platform is the central hub for managing transactions between buyers and sellers. Etsy has a history of integrating various fintech solutions to streamline the selling process for its global community. The company maintains a strong focus on providing secure and flexible payment options, which is essential for its diverse base of international sellers who often operate in markets with varying levels of banking infrastructure.

What FF News has reported before

FF News has closely followed Etsy’s ongoing efforts to diversify its payment and accounting ecosystem for global sellers. In October 2023, we reported on a similar move when Payoneer and Etsy partner to make it easier for sellers in emerging markets to get paid, highlighting the marketplace's focus on providing better access for sellers in emerging economies.

Additionally, Etsy has a long-standing relationship with other major fintech players. We previously covered how Adyen supports Etsy in reaching ten million buyer donations through donation feature Giving, showcasing the platform's ability to integrate complex financial features beyond simple transaction processing. These prior developments underscore a consistent strategy at Etsy to partner with specialized payment providers to enhance the seller experience and expand its global reach.

What this means

This partnership indicates that the boundary between consumer remittance and B2B payouts is rapidly dissolving. Remitly’s entry into the marketplace sector puts immediate pressure on traditional cross-border payment providers who have long dominated the SME payout space. By allowing sellers to hold USD and convert on their own terms, Remitly is addressing a specific pain point: the loss of margin to unfavorable, automated exchange rates. This move raises a critical question for the industry: can specialized remittance networks provide better liquidity and lower fees than the established global banking rails? As marketplaces seek to attract more international talent, the flexibility of the payout provider may become a competitive differentiator.