PayPal is banning users that trade in cryptocurrency on their platform

[BrolySSJ 7899]

Recently PayPal has expanded their horizons by introducing crypto into the works, and it is said that this will be integrated into all of their different regions within the month of the upcoming year 2021. This allows people to make payments with their crypto as well as to buy and sell crypto. This was a huge development for bitcoin and the other coins, as the prices surged upon hearing this news. PayPal is one of the most prominent payment platforms used globally and the introduction of crypto into the was a huge deal! 

 

However, this is not as great as it sounds. In a recent article, a user was banned from their PayPal account for 180 days for trading crypto using PayPal. The account has been placed on a six month hold of all funds. It seems that the account was deemed to be 'item sales', even though it was crypto trading. This leads me to personally believe that perhaps the integration of crypto into PayPal was a bit premature if they still do not have the technology that can differentiate between these two. 

 

The user stated that each transaction was 'PayPal Crypto', and wrote several times to try and get an explanation to the ban. After calling and getting his review of the account expedited, the account was permanently limited, not providing any explanation as to the imposed ban other than it was a risk of crypto trading. Despite PayPal stating that users are allowed to trade in crypto, it seems that this article shows a completely different side to the story.

 

What do you think about this? Do you think that PayPal released this a bit prematurely if they are banning accounts for just trading? Could this be a major thon in the side of crypot expansion in the future? 

 

This is the link to the article if you would like to look into it more:

https://www.financemagnates.com/cryptocurrency/news/paypal-bans-user-for-trading-cryptocurrencies/

[P A Ashif 2409]

This is very bad. On one hand they are bring major changes to bring crypto to their platform. On the other hand doing stuff like this. Is there any other users that have faced the same problem. I am amazed that they have banned the user for 6 months. They will certainly loose popularity if they do stuffs like these.

[Mansoor sumaan 29 0]

That seems to to be a kind of controversy between the PayPal and the crypto talk. But what is this we don't need to explain this we are just feeling that this is very bad thing for the users of the PayPal and crypto talk and without PayPal the trading and investment is very difficult on other forums as other forums are not trustable . So it is a very bad news for us. it is disappointing about hopefully this will be solved soon .

[entrepreneur 634]

This is not good in my opinion from paypal but we need to understand that they also want to not have their service used as a trading platform but as a HODL one.

[tienda 8776]

I have surprised when I heard about PayPal introduced the cryptocurrency to their platform. I remember years ago I sold some Dogecoins through eBay and choosing PayPal as payment method. At the end the buyer was a scammer, when he sent me the payment to my PayPal account and then I sent it the Doges. He reclaimed to PayPal refund their money! PayPal executed the refund. When I did the plaint to PayPal they asked me the shipping proof! There is not any proof I can provide for cryptocurrency transaction. PayPal protects just their buyers no sellers.

 

1 hour ago, BrolySSJ said:

Do you think that PayPal released this a bit prematurely if they are banning accounts for just trading?

And now with this issue of banning their users to trade in cryptocurrency. @BrolySSJ I think it is not right why they did that! The confusion created by them, now if they have not respected the USA law, is their problem not users.

 

[magd 5231]

The newest news that made all the cryptocurrency news is Paypal joining the Blockchain and the contract that was signed recently, and traders can convert their cryptocurrencies into real money from the bank Paypal, but the way to work has not yet been clarified and we are waiting for experience owners.

[annayks 2314]

Although it was a big step, it seems that the Paypal integration of Bitcoin was very poorly done and we already know that Paypal would ban accounts as it did in the past. The bigger problem is not having an option to withdraw the Bitcoin to another wallet. This is Paypal bitcoin and not the real one.

[wassim19 645]

Paypal accepted digital currencies a month ago, and the news spread and caused a sensation that allowed the price of Bitcoin to rise a lot, and now we see that this famous bank deals with the opposite of what it says is a dangerous matter and manipulation by the bank. Perhaps this was in order to bring more customers to the bank, but the world-famous electronic bank is that it Dangerous thing

[hani20980 2706]

That's really bad for paypal reputation they announced that they supporting cryptocurrencies

and after that they ban a user account for trading cryptocurrencies it seem that it will be better

for us to not use paypal for buy or sell of cryptocurrecies to avoid the ban at least until paypal

explain this situation

[Syedbesharat 5423]

As a big giant of finance PayPal have to be more advance if they are entering in crypto and make better system for crypto support if they cannot have good system for crypto they have to accept own competence where they have ban the user for crypto trading. They have to explain their polices clearly to users and prevent misunderstanding of users. They have allowed buying and selling at network of crypto looks great but from this article it's a red flag. 

[kryptonick 2659]

Paypal was terrible before this. I remember having an account and after reading their user agreement I never used it. When I found Bitcoin I was more than happy and it made paypal look even worse. Now Paypal does what exactly? They give you access to Bitcoin buy and sell. And they don't allow you to send the Bitcoin or to receive any. I feel really bad for those that found Bitcoin from Paypal.

[huesca123 946]

Welcome to Jeff Bezos, Amazon - Landia, internet dictatorship tyrannical kingdom !!!! Where we change the rules whenever we want. To our advantage & favor. If you dont like it, so what. We dont care because we are so powerful & no one can hurt or touch us.

 

Maybe their technology wasnt up to date, they werent prepared for this to happen, it was introduced to soon. Everybody makes mistakes, we are human ( maybe Bezos isnt ). But, Amazon / Bezos could have admitted their mistake, after they looked into it & realized that they were at fault. Then released his money. Now this poor guy, has all his money frozen & cant use, thru no fault of his.

 

Something else that you might consider. If it was a large amount of money, Amazon can use that money, as if its their own. Or just put it in a bank, to earn interest for a 6 month fixed rate. Where Amazon will receive the benefits of that interest, not the owner of the money.

 

We, the people, have little or no legal recourse against these corrupt business monopolies. His only real recourse it to have this go viral & shame Amazon into releasing his money. Or try to sue Amazon, but that takes a lot of time & a lot of money. Bezos should be tarred & feathered. Hes no better than the low life scammers / spammers that plague this forum.

[Calvinpriva 17296]

17 hours ago, BrolySSJ said:

What do you think about this? Do you think that PayPal released this a bit prematurely if they are banning accounts for just trading? Could this be a major thon in the side of crypot expansion in the future? 

@BrolySSJ If this really happened, then it's really bad. I am amazed to see such an act done by paypal to their client when they have already accept crypto transactions in their wallet! Maybe they weren’t ready to use crypto but they did it to attract more users, but now they are blocking their accounts. If this continues to happen, it will be bad for them because many users were happy with the news to accept crypto, but now they will be saddened by such actions when they do crypto transactions on their paypal accounts. A large percentage will hate paypal for this, so there will be no effects for crypto but for themselves.

[George10 9932]

That's very sad to hear that someone's PayPal account has been put on hold or banned for 6 month's because of dealing with crypto however, if this is really true then it's not something good and it can cause other users and those who wanted to join to be uncomfortable and that's the reason I just don't like dealing with PayPal too many restrictions..

[Bellamy 1065]

PayPal has always taken this type of action with many of its customers and it is not uncommon for this to have happened today. On the other hand, I think that it is irresponsible for the platform to have included cryptocurrencies as a trading option without first announcing that it cannot be operated. Many PayPal clients moved their cryptocurrencies to operate on this platform, now how are the assets of those people if they want to make movements currently. I don't think the news will affect the crypto world, but I am sure it will greatly affect the reputation of this platform.

[Jromz 2158]

I have always thought this Paypal inclusion of Bitcoin and other cryptos is some sort of double-edged sword. On the one hand it introduces this crypto world to literally hundreds of thousands of users, which is obviously good for adoption. On the other hand, however, they don't allow the free flow of crypto assets outside their own platform and now they're banning users without any valid reason. It'll be interesting to see how all this evolves. 

[Amiami 1362]

PayPal being PayPal, for me the worst payments platform in the world, their support is totally mediocre and they usually aprove scammers, they charge very high commissions and how can see they do not even respect their own rules, since they had previously published that the trading would be possible on the platform but we already see that by simply performing operations they can temporarily or permanently block the account, something that if we see it from another perspective implies the theft of funds from a person.

[Mubiflow 1771]

On 11/29/2020 at 7:57 AM, Jromz said:

I have always thought this Paypal inclusion of Bitcoin and other cryptos is some sort of double-edged sword. On the one hand it introduces this crypto world to literally hundreds of thousands of users, which is obviously good for adoption. On the other hand, however, they don't allow the free flow of crypto assets outside their own platform and now they're banning users without any valid reason. It'll be interesting to see how all this evolves. 

@Jromz when they first announced this advancement in the PayPal I was so happy as I think this not only promotes cryptocurrency to people who don't know about it but also to people who still doubts it's legitimacy. But they have been nothing but pain for people who have traded in PayPal as at now I just hope this injustice. Like you said it  will be interesting to see how it end for both parties  

[pablomarwan 3082]

There may be an error. I read an article saying that cryptocurrencies will be merged with a transfer from one exchange to another and that trading will be allowed. And there is another side. And is that he will launch her own aunt, perhaps the company Paypal was keen to allow trading digital currencies based on its own currency.

[Abdul1168782 572]

It's very terrifying and confusing  because of their policy. And by this no one can buy amd sell their crypto properly. And this will lose their reputation as if they doing more same like that. They have to create a specific frame work for that.

[Hamza 2.2 631]

That is extremely tragic to hear that somebody's PayPal account has been required to be postponed or prohibited for half year's a result of managing crypto notwithstanding, on the off chance that this is truly obvious, at that point it's not something acceptable and it can cause different clients and the individuals who needed to join to be awkward and that is the explanation I simply don't care for managing PayPal such a large number of limitations.

[Smallingcane012 344]

I'm not think PayPal is ban the users who trade in crypto currency but it may be happen but if some one has ideas should explain.

[betelihem 4766]

2 hours ago, Smallingcane012 said:

I'm not think PayPal is ban the users who trade in crypto currency but it may be happen but if some one has ideas should explain.

I know that paypal supports only fiat money and we can't use paypal wallet for trading with cryptocurrency because we all know that paypal wallet only holds fiat money, i don't get it how can someone exchange cryptocurrency with paypal,

[abd1992 960]

On 11/27/2020 at 8:07 AM, BrolySSJ said:

Recently PayPal has expanded their horizons by introducing crypto into the works, and it is said that this will be integrated into all of their different regions within the month of the upcoming year 2021. This allows people to make payments with their crypto as well as to buy and sell crypto. This was a huge development for bitcoin and the other coins, as the prices surged upon hearing this news. PayPal is one of the most prominent payment platforms used globally and the introduction of crypto into the was a huge deal! 

 

However, this is not as great as it sounds. In a recent article, a user was banned from their PayPal account for 180 days for trading crypto using PayPal. The account has been placed on a six month hold of all funds. It seems that the account was deemed to be 'item sales', even though it was crypto trading. This leads me to personally believe that perhaps the integration of crypto into PayPal was a bit premature if they still do not have the technology that can differentiate between these two. 

 

The user stated that each transaction was 'PayPal Crypto', and wrote several times to try and get an explanation to the ban. After calling and getting his review of the account expedited, the account was permanently limited, not providing any explanation as to the imposed ban other than it was a risk of crypto trading. Despite PayPal stating that users are allowed to trade in crypto, it seems that this article shows a completely different side to the story.

 

What do you think about this? Do you think that PayPal released this a bit prematurely if they are banning accounts for just trading? Could this be a major thon in the side of crypot expansion in the future? 

 

This is the link to the article if you would like to look into it more:

https://www.financemagnates.com/cryptocurrency/news/paypal-bans-user-for-trading-cryptocurrencies/

The recent introduction by PayPal to allow working with cryptocurrencies gave great power to digital currencies to rise and reach high levels.

[yato987 2811]

I also heard about this news but now it's more than just one user , many paypal users who deal with crypto got their accounts locked and this is really bad because we saw how paypal allowing crypto announce was positive for the market and the prices increased , this news now may have a bad effect on currencies price and lead them to drop in price 

putting that aside i think the same as you , if it was really because of system mistakes then they should work to fix it now and stop allowing crypto dealing for now , this will affect the market but it's better than getting more users banned