Following a CBS News investigation, multiple government officials using Venmo experienced a breach of digital privacy when their contact lists were left publicly accessible. As Venmo is owned by PayPal, this incident reflects on PayPal’s oversight in securing its technology, potentially enabling vulnerabilities that authoritarian actors could exploit to compromise national security.

A lawsuit filed by an Asian American businesswoman alleges that PayPal's $535m investment program discriminated against Asian American applicants by favoring Black and Hispanic entrepreneurs, raising serious concerns about the company's commitment to ethical business practices and human rights.

An Asian American businesswoman, Nisha Desai of Andav Capital, has filed a lawsuit against PayPal alleging that the company engaged in racial bias by restricting a $535M investment program to Black and Hispanic applicants, excluding Asian Americans and causing significant financial harm.

PayPal, the parent company of PayPal and Venmo, spent over $800,000 on lobbying in the first half of 2024, focusing on tax-related legislation and regulatory issues, marking a significant increase in its political engagement.

OpenSecrets data indicates that during the 2024 cycle, PayPal Inc contributed $342,840 and spent $1,630,000 on lobbying. Additionally, a revolving door is evident, with 18 out of 23 lobbyists in both 2023 and 2024 having previously held government positions, raising concerns about excessive corporate influence over public policy.

The OpenSecrets profile details PayPal Inc's annual lobbying totals since 1998 and highlights the bills lobbied in 2024, illustrating the company’s ongoing engagement in lobbying efforts that may impact public policy.

After facing intense backlash over a policy that would have imposed a $2,500 fine for misinformation, PayPal removed the problematic language from its acceptable use policy. Although the fine for other violations remains, the revision addresses concerns about potential censorship and arbitrary enforcement.

On October 13, 2022, PayPal released an erroneous update to its Acceptable Use Policy that would have fined users up to $2,500 for allegedly spreading misinformation, which sparked significant backlash including criticism from figures like former PayPal President David Marcus and Elon Musk. The company quickly retracted the policy, labeling it an error, after widespread public outcry and a surge in users seeking to delete the app.

PayPal retracted an erroneously circulated section of its updated user agreement that would have fined users $2,500 for posting misinformation or content deemed intolerant. The company acknowledged that the disputed language was inserted in error, easing concerns about potential misuse of financial penalties to suppress free speech.

Following significant public backlash and social media criticism, PayPal reversed an erroneously published update to its terms that would have imposed a $2,500 fine on users for allegedly spreading misinformation. This corrective action came after prominent figures and a sharp decline in stock value highlighted concerns over potential free speech restrictions.

A FIRE statement criticizes PayPal for enforcing opaque policies that restrict access based on users’ speech and viewpoints, effectively positioning the company as a gatekeeper that can undermine free expression and democratic discourse.

PayPal has been reported to shut down accounts of independent anti-war publications including Consortium News, MintPress News, and accounts linked to journalist Caleb T. Maupin. The abrupt and unexplained shutdowns have raised concerns about censorship and the suppression of dissenting voices, aligning with authoritarian practices.

The Interfaith Center on Corporate Responsibility report details PayPal's opaque transparency practices and controversial account suspensions which have led to censorship of protected speech and disproportionately affected marginalized communities. The resolution calls for comprehensive revisions to transparency reporting to mitigate these issues.