Offering PayPal for Bitcoin? You're likely to be labeled a scammer - Read why

[mamamae]

paypal is very scary if you look at it , even the news of refund of BFL from paypal
is changing to refund only for BTC payment.
from
https://bitcointalk.org/index.php?topic=266945.180

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[smirno]

Even tho I never get scammed yet  but yeah I also hate how Paypal works,
just hate the dispute system.

[minerchamp123]

Ye paypal is by criminal for criminal

[saruche]

Great info. Thanks. Although I have been hearing about BTC for quite some time it is only recently that I have actually started reading about it in detail. It is indeed amazing how many benefits BTC have.

[gn0ssos]

Thanks so much for the info! I had heard of people doing this before, but will most likely not be doing it now. I sure wish you could trust people, however it does seem that in most cases (particularly with BTC) if it seems too easy, it's probably a scam. Thanks.

[marcotheminer]

What about gift paypal paments? Quick easy no seller commision and unreversible

Paypal keeps a close eye on 'gifted payments'. No ones just recieves 100s of $$$ in gifts from random people from all over the world. After you receive a certain amount of 'gifts' paypal will freeze your account until they decide you can have access to it again!

[crazycoin007]

It is understandable Paypal is least liked. What is other option available to buy a few coins just for fun?

Cash? Personal safety concern
Cash deposit? LocalBitcoins is dominating by early adapters w/ established rep and rest just can't find a deal
Exchange? Lengthy process of registration and verification, fees to send small amount, plus voluntarily add yourself to gov bitcoin watchlist.

Any other reliable venues for market priced BTC?

[snappahead]

It's kind of surprising that people still need educating about Paypal.  I know for a fact they have been stealing money since 2003 as that is when I first had funds frozen by them.  Their policy when your account is suspended is "talk to the hand".  They make some arbitrary decision that your account is tainted, keep the money and refuse to discuss why.  This has been their policy for at least a decade, but muppets continue to sign up and use them.  I am amazed an entrepreneur has not been able to displace them in the market - perhaps bitcoin will assist in this.  If someone can come up with a painless and smooth way to transfer fiat to bitcoin and vica versa, I think they'll make more money than Elon Musk and Satoshi Nakamura combined...

[giletto]

It's kind of surprising that people still need educating about Paypal.  I know for a fact they have been stealing money since 2003 as that is when I first had funds frozen by them.  Their policy when your account is suspended is "talk to the hand".  They make some arbitrary decision that your account is tainted, keep the money and refuse to discuss why.  This has been their policy for at least a decade, but muppets continue to sign up and use them.  I am amazed an entrepreneur has not been able to displace them in the market - perhaps bitcoin will assist in this.  If someone can come up with a painless and smooth way to transfer fiat to bitcoin and vica versa, I think they'll make more money than Elon Musk and Satoshi Nakamura combined...

If you follow the rules from paypal you will not got problem at all. I work with pp since 2007, for 7 year now. Got sometime the account frozen, but within a few days is unfrozen again.

If i compare fraud possibility over paypal or creditcard and bitcoin then bitcoin is the winner, is 100% impossible to got your money back, if somebody try to cheating you. If i pay with pp or cc i can claim my money back.

[snappahead]

If someone is committing fraud then you are correct in stating PP or CC providers are "safe".  The issue I have is that PP have a reputation for making very bad decisions somewhat arbitrarily and not entering into any form of mediation if that decision is against you.

Everyone involved in bitcoin should read the book "The Sovereign Individual - Mastering the Transition to the Information Age" by James Dale Davidson to help them really understand the implication that bitcoin brings to humanity in offering a truly free and unregulated medium of exchange.  The biggest issue that will face this currency in the near team is the opposition of nation states (PP is a proxy of the US government in this regard).

As soon as a sovereign nation gets on board with bitcoin/crypto currencies (Iceland anyone?) and offers safe haven to unregulated free markets with a fair exchange for services to maintain society, I think they will become the leading economy in the world and show other antiquated models the way of the future.  There will be ALOT of opposition to any nation state endorsing crypto currencies by the powers that be, but I think the competitive advantages of any move will attract capital like there is no tomorrow and invalidate any issues over time.

The biggest worry is that the United States will intervene militarily to maintain the status quo of fiat currencies against any state that opens the door to crypto.  This is a real risk - wars could be fought over this in the near future.

[plex_brahial]

I did have some problems with buying bitcoins since I did now want to wait until mtgox or btstamp aproves my account. I wanted the coins now.
I looked into localbitcoins.com but I considered the price to be way to high compared to other payment processors.
I then found bitcoini.com an bulgarian website that sells and buys bitcoins via wire transfer. I made the deposit and then realised that there is nothing that can make this transaction 100% safe, I was relieng on trust for this transaction to go forward. 12 hours later I had my bitcoins for trade. I am very happy the guy did not run off with my money.
Be carefull from where and whom you buy your bitcoins from, for now you have to be patient when you change FIAT to BTC!

[El]

Yes, because PayPal operates almost exactly like a bank.  They are a bank.  Just say it. I use PayPal, and now PayPal is a bank. 

Ok then.  I stand to be frozen out because of the products I sell, and bitcoin use....

But this is not the first time pp an I have danced....you need to know how to grab them by the ear and get what you need.  Still, they are almost worse than a bank.  At least if there's a problem at the bank, even if the screw you, there's a guy to hold accountable.....

YES! Game on, PayPal.  You see, they really don't care about the mom and pop shops on ebay and etsy--- you are small change.  They will just freeze your account ALL THE WHILE EARNING INTEREST ON YOUR FUNDS.

Were about to do a reversal on that institution.  Mark my words.

[infinitybo]

@Snappahead Briefly that's basically something similar moreover they will become the leading economy in the world and show other antiquated models the way of the future and that's all !

[ashish1234]

It is clearly mentioned on paypal terms, so we must not use this for exchange.

[mac2k13]

Isn't the risk of buying bitcoins with paypal the same risk as buying anything else with paypal?  What is considered to be the safest way to do this other than going to someone in person and making sure you get the cash in hand?

It's not the risk of buying bitcoins with paypal - it's the risk of selling bitcoins for paypal.  Example:  you sell me 1 bitcoin and I buy it by paying you $100 thru paypal.  Once I receive the bitcoin from you I file a dispute on paypal.  Paypal reverses the transaction and gives me back my $100.  Now I have 1 Bitcoin I didn't have to start with, and my $100 in my paypal account.  You on the other hand have lost 1 bitcoin and have no additional money in paypal.

Well you do have some point there, been there before..Actually there are still a lot of scammers that do this trick.. However, I think you cant try to bypass these dispute. I think I heard that there are specific days in which the sender of the money in Paypal can file disputes. But you would be so lucky if they would do it..lol.. Thanks for this information mate.. It do help a lot in understanding how risky Paypal is.

[Holm]

for buying bitcoins through PayPal is not excellent for sellers 

[SteinsMadScientist]

I'm super glad that I do not use paypal.  I considered it as an alternative in purchasing btc however another forum I am affiliated with (Rimbit) also advised against making this mistake.  *phew*

[shyich03]

if exchanging other currencies for bitcoin is best done person to person, wouldn't it weights down the benefits of bitcoin by a lot?

[myparentsdisownedme]

Ive seen a lot of people do that and have never been scammed

But I mean I guess I know what you mean anyways so whatever

[Deep In The Mines LLC]

Dosen't matter if your friends didn't get scammed, selling Bitcoin for Paypal is ridding yourself of any chance of regaining those said Bitcoins should anything go wrong with the transaction, and also giving the buyer a lot more leverage over you (infinite leverage in this case), you shouldn't relay on chance and buyers remorse my friend.