Topic: [Warning] Using Digital Currencies with Paypal is against the TOS (Read 863 times)

I don't see this coming to realization in the near future. The 'if you can't beat them join them' mentality never applies to corporate greed. These guys will limit your account even if your money is all legit.

Well this would be true if they had a long term vision. The problem is that they are thinking short-term and they actually believe that by supporting Bitcoin, they are supporting their direct competitors!

This to some extent is true, but by thinking more long-term, they would at least profit from Bitcoin like you have said until the inevitable doesn't come. And inevitable is that one day they will lose many customers and a lot of business to Bitcoin! Maybe even all of their business!

Didnt Ebay or Paypal file for a crypto currency recently?

paypal is breaking off from ebay so hopefully they change the way they act towards btc. They should just say trade at your own risk using btc cause they dont back it up etc.

Paypal should be moving towards the acceptance of bitcoin and not going through all the hassle of limiting and investigating accounts, it would certainly cause them a lot less hassle and might even bring them new customers.
People will just use other fee charging services so they are the ones missing out.

If you wrote "he designed me a logo" as the payment note...how will they ever know it involved crypto currency.

My account was also limited, first time not due to cryptos, second time, due to cryptos. that was only because it was blatantly obvious (payment notes stating currency exchange)...this was also in early 2013

selling for paypal is safe, buying is another story, just do the first if you want "paypal money"

use something like coinimal for this

you said..
"paypal to buy stuff on ebay with BTC"

that would do it.. you broke the TOS

I used a gyft ebay code with paypal to buy stuff on ebay with BTC, sent some money to Germany for tools, and sent some money to Austrailia for some Porsche pieces, and the froze my account..

I didn't loose anything though, I guess I was "suspicious" or something like that, I forget exactly..

you can't lie and claim it's something else usually and they don't just "limit" your account.
They lock it and freeze all transactions and even roll some back..

A soon as your account is frozen you will be notified by an automated email that your under investigation.
the email can not be replied back to and there is no contact info given.
You will also be auto blocked from their support forum.
Accounts frozen can't post on forums !

What they want you to do is log in with the account locked to the Paypal web site UI.
Then you will see a checklist of demands they make.. such as requesting ID or receipts etc.
And you have no way of talking to them anywhere.
The only way i could say something to them was to pretend to upload a picture of a receipt
that was an image i created with text writing on it pleading with them.

People listen to me not some guy who squeaked by.. these guys saying it's ok to do just haven't been caught yet.

They can seize your account and take your money and tack on a bill.. ANYTIME !

I am telling ya guys.. just DON'T do it !

When i Google searched the first sentence in my response from them about digital currencies from their TOS
I found a guy a year earlier had already came here posting the same email word for word..
The only difference was the fake support person name at the bottom of the email.
Other than that it was an exact clone.. a template they send out to crypto users.
So i have seen them sending that TOS violation email out since at least 2012
2016 is here and you guys need to smarten up.. or suffer the consequences.

edit:
reminder my incident happened in around NOV 2013 roughly

so after being warned, you are still willing to risk your account and get it limited just to see if he is right? 

Thanks for your warning. Next week i will try to bought some couns with paypal and lets see what will happened

you'll get limited conducting crypto transactions with PP.
Simply label it as something else (online design service, etc) and you should be ok. Digital goods are also undisputable unless it is a chargeback

BUMP..
You all don't learn.
Stop doing it ..trust me or suffer.

It seems everyone is totally unaware you are NOT allowed to have any crypto related activity with Paypal.
Once you get caught your are in for a hellish nightmare !

Seriously i damn near had a break down from getting soooooo mad all day every day for 2/3 months.
i wanted to rage.. i wanted blood !

Paypal kept jerking me around making up new excuses for the problem and making more demands.
Just when i thought i couldn't get any more pissed off they would make it all worse.

One of the worst experiences of my life.

Just imagine fist fighting someone for 2 or 3 months 24/7.. it was BRUTAL !!!

@MODS
Please Sticky this information some how.

I have watched for years now people give advice saying go ahead and do it "just be careful"
Don't .
Breaking the terms of service with Paypal will have serious repercussions.. trust me LOL

Using Digital Currencies with Paypal is against the TOS

That is not some guys opinion.. that is crystal clear concrete Fact

None of you should be advocating people do this EVER !

I can show you multiple emails i got from them stating this.
And if you don't believe me all you have to is go read your Paypal TOS.

I myself had $5,000 usd taken from me..
Do you want to hire a lawyer to fight them to get your money back like i did ?

When i got the email from them i google'd it too and guess what i seen ?
People on this very forum posting the same email.
So i was not the first.. People here already went what i went through (October 2013)
So had this place had a sticky warning about it i might have avoided my 3 month long fight.
A lot of services out there offer Paypal transactions and they KNOW they shouldn't.

BTC-E was more than happy to make off with my fee's for the TX  
These services out there don't care if you have your account seized.
It's up to you guys to watch your back.