Why does everyone think people that will use PayPal to buy coins are dishonest thieves who charge back? I assume most people just have some funds laying around in paypal and want to buy some coins with it like I do, I sell quite a bit off ebay and therefore if I sent funds to another member I cannot charge back because my purchase wasn't funded by a credit card. Maybe its all changed now with the price of BTC what it is but back in the day when I first started out and coins were $10-20 I sold thousands worth on eBay and never ONCE had a single chargeback out of 100+ orders. Maybe I ran good but before I completed a sale I made sure the buyers had positive feedbacks.
Funny... I sold coins on eBay too, and within 6 months of my sales, nearly every transaction was charged back.
No, I don't think that it's paypal buyers being dishonest, i think that people with stolen PP credentials were scanning eBay looking for suckers selling Bitcoins. Bid on auction, send PP payment of funds that aren't theirs, receive Bitcoin and go on your way... Then a month or two later when someone opens up their CC statement, they say "i didn't order that, that wasn't me", and call either their CC or PP, and complain.... And as a seller of "digital goods", there is zero way that you can prove that the coins you sent were received by the CC owner... You can show a transaction on the blockchain, you can show the eBay messaging, but at the end, you have no legs to stand on...
Somehow, recalling my own experience, I'm not believing you. EXCEPT, if you were selling for 10 or 20 a piece, you were probably a year before me, so maybe its' just that scammers hadn't picked up on Bitcoin quite yet... That's the only thing I can think of, tbh.
It is paypal and Visa and Mastercard fault, this is legal credit card chargeback scam, which anyone can do within 30 days with no fear of prosecution for fraud.
Paypal and Visa and Mastercard categorize crypto currencies as "intangiable products", therefore sending via the blockchain is not considered evidence, emails from the buyer are not seen as evidence. Therefore, Paypal and Visa and Mastercard will always settle this legal scam or fraud in the favor of buyer.
So, organisations like Paypal and Visa and Mastercard have made this crime legal. Anyone who wants to steal crypto currency, just has to find a seller willing to accept credit card payments and they will get the crypto currency plus the money they paid for it refunded back to them.
The scammers and fraudsters, can simply buy lots of small amounts of BTC or LTC or DRK. They don't even need one big transaction, because they contact their credit card company and request chargebacks on all the transactions, even if their 50 of them.
If, you are not willing to cover the cost of scammed refunds with your own money (this is correct decision when you are victim of legal crimes), your Paypal account will get closed down, they will send you some nasty letters about the outstanding balance and send a default notice to the credit agencies. And, you'll need to open a Skrill account to buy stuff off ebay or ask for other payment options from ebay sellers.
