XPost: alt.business.misc, alt.abortion, seattle.politics   
   XPost: alt.politics.libertarian   
   From: embrace.woke.go.broke@paypal.com   
      
   In article <403bc5c1-725c-4590-a9ef-   
   3ce0eb364fb3n@googlegroups.com>   
   governor.swill@gmail.com wrote:   
   >   
   > Looks like it's time to cancel paypal.   
   > I just deleted my cards from the paypal account.   
   >   
      
   PayPal  (PYPL)  is in trouble.   
      
   The financial services platform has been in a major decline   
   since the beginning of the year.   
      
   Its stock price has fallen 52.2% since January. The market value   
   has decreased by nearly $114 billion during that period to   
   $104.3 billion.   
      
   Profitability concerns surrounding fintech have grown in recent   
   months as fears of a recession have taken precedence over all   
   other considerations with investors.   
      
   Investors fear that the aggressive increase in interest rates by   
   the Federal Reserve (Fed) to tame inflation, which is at its   
   highest in 40 years, will lead to a so-called hard landing for   
   the economy.   
      
   Normally, when interest rates rise, it is a good scenario for   
   financial institutions. They make money by charging their   
   borrowers more than they pay to their lenders.   
      
   A $2,500 Fine for Misinformation   
   The problem is that a sharp slowdown in economic activity is   
   likely to have an impact on many households. This could result   
   in an increase in unpaid bills and a piling up of payment   
   defaults on loans granted by financial firms.   
      
   PayPal's revenue stems primarily from fees the company charges   
   when consumers use the platform to pay for online purchases and   
   various transactions. If the volume of transactions decreases,   
   so will PayPal's revenues.   
      
   In addition, the company is also suffering the brunt of the   
   sharp decline in the interest of small investors for   
   cryptocurrencies. PayPal was among the first companies to offer   
   to buy and sell Bitcoin (BTC) and Ethereum (ETH), the top two   
   cryptocurrencies by market value.   
      
   The crypto craze that peaked in November 2021 has completely   
   died down. The sector has been in a kind of lethargy for several   
   months, marked by a sharp drop in trading volumes and the   
   withdrawal of retail investors, often arriving on the market via   
   PayPal and CashApp, Block's  (SQ)  platform.   
      
   But as if all these challenges weren't enough, PayPal just   
   created a big problem all on its own. Documents were just leaked   
   in which the company says it will impose financial penalties on   
   customers who violate its policy.   
      
   Any misinformation would be penalized with a $2,500 fine.   
   Basically, if a client is found guilty of four acts of   
   misinformation, they could be fined $10,000. PayPal would   
   withdraw this amount directly from the customer's account.   
      
   “You are independently responsible for complying with all   
   applicable laws in all of your actions related to your use of   
   PayPal's services, regardless of the purpose of the use," the   
   document, called "Acceptable Use of Policy," said.   
      
   “Violation of this Acceptable Use Policy constitutes a violation   
   of the PayPal User Agreement and may subject you to damages,   
   including liquidated damages of 2,500.00 U.S. dollars per   
   violation, which may be debited directly from your PayPal   
   account(s)," the company added.   
      
   You can read the full document here.   
      
   What is interesting is that it is marked "Last Updated on   
   November 3, 2022". This suggests that the policy was only due to   
   come into effect in just under a month.   
      
   Public Outcry   
   The leak of the documents has resulted in a massive outcry   
   against PayPal on social networks. Some co-founders of the firm,   
   like Elon Musk and David Marcus, were among the critics of this   
   policy which goes "against everything" they "believe in."   
      
   "It’s hard for me to openly criticize a company I used to love   
   and gave so much to," Marcus posted on Twitter on Oct.8. "But   
   @PayPal’s new AUP goes against everything I believe in. A   
   private company now gets to decide to take your money if you say   
   something they disagree with. Insanity."   
      
   David Marcus   
   @davidmarcus   
   ·   
   Follow   
   It’s hard for me to openly criticize a company I used to love   
   and gave so much to. But @PayPal’s new AUP goes against   
      
   [continued in next message]   
      
   --- SoupGate-Win32 v1.05   
    * Origin: you cannot sedate... all the things you hate (1:229/2)