Why would someone continue to buy bitcoins over market value?

[Alex Beckenham]

If he's using paypal, he WILL get his money back if he initiate a dispute. A lot of paypal transactions are later reversed by the buyer, it's like a 100% no risk way of getting free money.

This isn't true. I used to sell software over PayPal, and the buyer doesn't get the money back by default. The PayPal side reviews the case first.

I initiated a dispute after being scammed here and PayPal said they couldn't return my money because the goods were 'virtual or intangible'.

So even as a buyer, it's a huge risk buying with PayPal.
(unless the bitcoins come to you first of course)

[Alex Beckenham]

Here it is:

Dear ........,

We have concluded our investigation into your case:

Case ID:  PP-001-341-457-483
Transaction Date:  14 Jun 2011
Transaction Amount:  -$150.00 USD
Seller's Email:  dsloco12@yahoo.com
Seller's Name:  richard francis

Unfortunately, we were unable to resolve this claim in your favour because
the item purchased was virtual or intangible. As a result, we have not
taken any action against the seller at this time but we have noted your
dissatisfaction in the seller's record for future reference.

If you still have concerns about this transaction, we encourage you to
continue to work directly with the seller for an amicable resolution.

Sincerely,
Shannon
Protection Services Department

Please do not reply to this email. This mailbox is not monitored and you
will not receive a response. For assistance, log in to your PayPal account
and click the Help link in the top right corner of any PayPal page.

So a) steer clear of richard francis
and b) note in bold how awesome awful paypal support is

They never once asked me to send supporting documents, of which I could have sent a lot of evidence it was a scam.

[kingbc]

to buy drugs asap

[mizike29]

Yeah I am pretty sure he is using it for drugs just from some references he has made, and silk road, needing them for this weekend, wife being gone for 10 days time  to party etc lol.   So far I have had no issues with using paypal to sell my bitcoins.  No chargebacks, the fees are nothing because I have them choose gift after the first sale to the user, they send the money first, and I am withdrawing the money to my bank account just in case if one claim is filed I will immediately close my paypal account and start over.  So far has not been an issue, and I am glad to have buyers at 16 to 17 a coin considering it is down to 13 a coin now.