See also: Wealth Transference
Paypal is a company that mediates credit card payments between individuals (normally you need a “merchant account” to accept credit card payments). Very simple user interface, makes smart use of e-mail (you can paypal money “to” any e-mail address — recipient gets a notice that he has received money but needs a Paypal account to pick it up – great incentive). New members get $5 for free, also referral program where people who refer users to Paypal get the $5.
Critics cite high amount of fraud, bad customer service and mismanagement. See PayPalSucks (http://www.paypalsucks.com/), Feb 2001 Salon article (http://dir.salon.com/tech/feature/2001/02/23/pay-pal/index.html).
- One million customers in April 2000
- IPO in February 2002
- Bought by eBay in July 2002
TakeDown.NET -> “Paypal”