PayPal updates its policies to play nice with crowdfunding

PayPal President David Marcus - (photo: Devindra Hardawar)

PayPal President David Marcus – (photo: Devindra Hardawar)

The eBay-owned company has been very successful when it comes to digital transactions, but for some reason the service has problems when there’s a crowdfunding element involved. For example, last month wearable tech company GlassUp raised an impressive $100,000 on IndieGoGo for its smart glasses device, but then had trouble getting PayPal to release its funds once the campaign ended.

In a recent blog post, PayPal said it’s “in the midst of overhauling our policies” to make sure situations involving crowdsourced funding work smoothly from now on. As for what those policy changes are, PayPal didn’t give any specifics. It did, however, indicate that it wasn’t content to ban all crowdsourced transactions from its platform.

For now, the company said it plans to have someone from risk management review each questionable crowdfunding campaign before it’s officially frozen. Obviously, that means there will be plenty of mistakes until a new policy is created that clearly spells out what you can and cannot do when it comes to crowdfunding transactions on PayPal. Lets hope those policy changes come soon, because the number of crowdfunding projects is only going to increase. Via Engadget

Source: VentureBeat – Tom Cheredar September 13, 2013
Link: http://venturebeat.com/2013/09/13/paypal-said-its-updating-its-policies-to-play-nice-with-crowdfunding/

Tags: ,

HEADLINE NEWS

This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news [...]

NPRAfter Outcry, Crowdfunding Site Patreon Backs Off Plan To Raise FeesNPRThe popular crowdfunding service Patreon has backed off plans to change its payment structure, after widespread, vocal and passionate opposition from creators and their fans. Last week, the site announced it wou [...]

TechCrunchHow hate speech crowdfunding outfit Hatreon crept back online ...TechCrunchIf you want to make a living creating white supremacist content, you're probably not going to do it via sites like Kickstarter and Patreon, which prohibit hate speech. Fortunately there's Ha [...]

CoinDeskKickstarter ICO? Don't Count On It Says Crowdfunding Leader ...CoinDeskThe company most widely associated with crowdfunding, Brooklyn-based Kickstarter, has no plans to get into the initial coin offering (ICO) business. Coming in response to the news yesterday that compet [...]

HuffPostIs Crowdfunding Really a Good Idea for Innovation?HuffPostHere's a head-scratcher for you: according to new research, if you refer to your product or idea as both “novel” and “useful” in your crowdfunding campaign, your funding will be lower than it would if you just decl [...]

Coindesk (press release) (blog)Crowdfunding Giant Indiegogo Opens to ICOs - CoinDeskCoindesk (press release) (blog)The startup revealed today that, through an existing partnership with MicroVentures, it will begin offering services to projects seek to use the blockchain funding model. [...]

ForbesCrowdfunding Do's And Dont's From iFundWomen's Karen CahnForbesDuring our conversation, she was transparent in sharing that her first software company, VProud, failed because she “did everything backwards” and spent too much time trying to perfect the product. “Pe [...]

FortuneWant to Hold Your Own ICO? Indiegogo Can Help You With ThatFortuneCrowdfunding sites like Kickstarter (kickstarter, +0.00%) and Indiegogo raised start-up cash for a generation of online entrepreneurs, but one increasingly visible method of internet-sourced financing seemed to h [...]

TechCrunchFormer Gawker employees are crowdfunding an effort to buy Gawker.comTechCrunchWhile Univision acquired most of Gawker Media's sites last year (and renamed them as the Gizmodo Media Group), the deal didn't include Gawker itself. In fact, BuzzFeed reported last month [...]

Boing BoingGawker alumni are crowdfunding to outbid Peter Thiel for control of ...Boing BoingGawker was bankrupted by Peter Thiel, who secretly backed Hulk Hogan's lawsuit against the network of news, entertainment and gossip sites in an act of petty revenge. Now, Gawker's a [...]

CFB Finance

Marketwired

  • Crowdfunding
  • Crowdfund
  • Peer to Peer Lending
  • FinTech
  • Reg A+
  • Reg CF
  • Crowdfunding USA

Press Release

Live Crowdfunding .tv

What's Next Step in Regulation A+ JOBS ACTS Title IIII :L Interview : Steve Cinelli with Brian Korn Securities and Crowdfunding/Peer-to-Peer Lending Lawyer, Watch more video library | Conference | Interview | Campaign Showcase | Research | Education |