New Paypal policy lets firms fine users $2,500 for spreading ‘misinformation’, ToS condemned and called an ‘abomination’ – Bitcoin News

A new Paypal user policy that allows the company to fine users $2,500 for spreading “misinformation” has caused quite a stir on social media platforms. After November 3, anyone who posts or publishes information or content to “promote misinformation” will be subject to the penalty.

Editor’s note: This article was updated to reflect that Paypal has retracted its user policy information following the social media backlash. The company said: “An AUP message recently went out due to an error that included incorrect information.” The last paragraph of this article contains the full statement from Paypal regarding the user policy.

Paypal’s new user agreement clause says it can deduct $2,500 in funds from users who spread “misinformation”

Payment services company Paypal is reportedly planning to update its user agreement with a new clause added that fights against so-called “misinformation”. A new update added to the Restricted Activity section of Paypal’s User Agreement states that individuals who post or publish hate speech or misinformation “may subject you to damages, including liquidated damages of $2,500.00 USD per violation, which may be charged directly to your Paypal account your. .” The Daily Wire first spotted the upcoming Terms of Service (ToS) agreement.

The prohibited actions include “sending, posting or publishing messages, content or material” that “promotes misinformation,” the payments company warns. Of course, the news was not taken too kindly by the general public, with a significant number of posts on social media criticizing Paypal’s decision to implement the new user agreement. Canadian lawyer David Anber wrote: “[Hey Paypal] you have 30 days to explicitly waive this abomination of a policy or I will permanently close my account, as will millions of others I’m sure. Your subjective views on ‘misinformation’ or ‘discrimination’ do not entitle you to your customers’ money.”

Close your PayPal account. Their new policy allows them to deduct $2,500 from your account for misinformation.

— Tim Kennedy (@TimKennedyMMA) 8 October 2022

Also, the Paypal news caught the attention of Tesla CEO Elon Musk. When one person wrote that the new ToS news was “worrying” and “this is why we need the X platform more than ever,” Musk black “100%.” Bitcoin supporters of course took to Twitter handles and exclaimed that “bitcoin fixes this.” A large number of people on social media begged others to “close their Paypal accounts” and “boycott” the payment service company.

A new PayPal policy update appears to allow the company to take up to $2,500 from the accounts of users who spread “misinformation.”

It’s probably theft.

— Sophie Corcoran (@sophielouisecc) 8 October 2022

“Paypal’s new policy lets it deduct $2,500 from user accounts for promoting ‘misinformation,’ Biden administration made it easier for government to spy on Americans, FBI acts like KGB,” Pedro Gonzalez wrote on Saturday. “Venmo is owned by Paypal which is owned by Ebay. Pull away from all 3 ASAP,” another person tweeted. A number of individuals asked how Paypal decides what information is “misinformation” or not, with many saying that today’s times are akin to a communist regime. A person wrote:

And who decides what “misinformation” is? Why, Paypal, of course. I am sure they will be fair. Twitter will limit your account if they don’t like what you post. Paypal authorized [itself] to assess fines for bad behaviour. Welcome to the Soviet Union.

Paypal’s long history of withholding funds and censoring financial transactions

Paypal has been accused of censorship for a long time now and picking and choosing sides based on the company’s own subjective valuations and of course government orders. In late July last year, Paypal revealed it was partnering with the nonprofit Anti-Defamation League (ADL) and said it planned to study financial transactions that funded extremism and anti-government groups.

Is PayPal going to take $2,500 from anyone who said The Laptop From Hell was Russian disinformation?

— Vince Langman (@LangmanVince) 8 October 2022

In 2010, Paypal and a number of other financial giants blocked Wikileaks from receiving donations, pushing Julian Assange and the nonprofit against bitcoin. In 2019, Paypal shut down ties to sex workers exploiting adult online portal Pornhub, at which point 100,000 adult performers were stranded. In 2020, Paypal sellers selling products associated with the eight-legged micro-animals called tardigrades or “bog pigs” had problems with the payment processor because the name tardigrade was used by an arms dealer in the Balkans.

PayPal has a new policy where they can only take $2,500 from the account of people they believe are spreading “misinformation.”

Retweet if you boycott PayPal👍

— PeterSweden (@PeterSweden7) 8 October 2022

According to Eric July, the owner of Rippaverse comics, Paypal gave him two months ago significant problems when he sold Rippaverse comics using Paypal and credit cards. At the time, $1.2 million was put on hold by Paypal, and on October 6, July said that after making the mistake of only paying him back half of the funds, “the other half was released,” and “it was no official statement from Paypal as to why.” After a major problem, July recovered “all of the original funds,” and he further emphasized that his company would “never use Paypal again.”

Rippaverse comic owner added:

It’s a lousy company and I recommend that small business owners especially avoid using them.

Paypal claims new user policy expired by mistake

On October 8, a Paypal spokesperson explained to National Review that the user policy notice that was shared wildly on Twitter and publications was a mistake. “An AUP message recently went out due to an error that included incorrect information,” the Paypal spokesperson insisted. “Paypal does not fine people for misinformation, and this language was never intended to be included in our policies. Our teams are working on correcting our policy pages. We apologize for the confusion this has caused.”

What do you think about the controversy surrounding Paypal’s upcoming ToS agreement that says it can fine accounts for spreading misinformation? Let us know what you think about this topic in the comments section below.

Jamie Redman

Jamie Redman is the news editor at Bitcoin.com News and a financial technology journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open source and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.