Topic: Offering PayPal for Bitcoin? You're likely to be labeled a scammer - Read why (Read 28870 times)

Another way, less stealthy, find a known location where anyone can meet to buy Bitcoins with cash in person. No meeting in random spots down dark alleys at midnight but there should be a Bitcoin coffeshop or I should be able to go to any Starbucks with cash and get Bitcoins.

Now here is the problem with Cash, with Cash you gotta worry about getting killed for it, or beaten up and robbed when it's a big enough amount. Bitcoins aren't cheap anymore, they are $100+ a coin now so now it's in the dangerous territory that drugs inhabit of being just cheap enough where people can afford it but just expensive enough that people will rob each other over it. These dangers exist primarily for the buyer not the seller imo. 

Glad to have read this thread. Scammers have been known to abuse reverse transaction option from paypal, friend was a victim of it but luckily wasn't that much of a loss, will have to stay away from paypal then.

It's hard to trust anything with bitcoin if that's the case, but isn't it why bitcoin is here for?

One of the best and comprehensive post to read to all the newer peeps that are joining the crypto world!

Better safe than sorry 

Thanks for this post! I have heard stories of friends who were sellers ripped off by PayPal through disputes with buyers, so this makes perfect sense!

PayPal seems like a nightmare for sellers, but is pretty nice for buyers.

And sometimes it's easier to sell a good product when your buyer knows he can reverse the payments if necessary.

O.K. I've read all and it does seem that Paypal is risky for trading. But, I couldn't see any suggestions for the alternative means of trading? How should one trade bitcoins for money? Thanks in advance!

I guess the best way to do this with paypal is if the person is right in front of you and does the transaction live, if not it does become hard. I men it has taken 3 weeks to approve an account on coinbase (others like poloniex were faster though).

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.

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

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

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*

for buying bitcoins through PayPal is not excellent for sellers 

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.

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

@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 !

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.

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!

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.

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.