PayPal (PYPL) announced Tuesday that it would be acquiring Hyperwallet, a global payout platform, for $400 million in cash.

Digital marketplaces are growing rapidly & merchants on these platforms need quick, secure & flexible access to their earnings. We’re acquiring @Hyperwallet, a global payout platform, to enhance $PYPL’s end-to-end payments solution for marketplaces. https://t.co/b0YcEbtRzm pic.twitter.com/QGSKnnEHb7 — PayPal News (@PayPalNews) June 19, 2018

In the announcement, PayPal COO Bill Ready states that the rise of online marketplaces, including freelancer platforms like Uber, has shifted the need for a more efficient and secure system for merchants and services providers to access their earnings.

By acquiring Hyperwallet, we will strengthen our ability to provide an integrated end-to-end solution to help ecommerce platforms and marketplaces – however large or small – leverage world-class payout capabilities in over 200 markets.

Founded in 2000, Hyperwallet provides organizations with a “frictionless, transparent, and reliable way to distribute funds to their global sellers, content producers, contractors, suppliers and resellers.”

This news comes just a month since PayPal announced the $2.2 billion acquisition of iZettle, the leading small business commerce platform in Europe and Latin America. This was the largest acquisition in company history.

PayPal anticipates closing the deal in the fourth quarter of 2018 and will begin integration efforts then. Hyperwallet CEO Brent Warrington and the Hyperwallet team will report to Braintree General Manager Juan Benitez upon closing of the acquisition.