My Problems with buying BTC for PayPal money
So while spying on the BustaBit chat (SPAM channel), I always see people that want to buy BTC for PayPal money.
Now the fun fact is that they always want to use PayPal, and most of you probably already know why:
They are going to scam your ass.
Why am I saying that?
Because PayPal has this nice function that is called “Chargeback”.
What is Chargeback you say?
It’s basically the whole idea behind the scam.
They buy the Bitcoins from you, wait for the selling party to send them, and once they got them, they will issue a chargeback on PayPal.
And most of the times, they will get the money back.
So they have your Bitcoins AND their own money.
Now except them not getting money for it, and losing their BTC (Bitcoin Transactions are irreversible), they also got a nice fee for administration costs and such (see it more like a penalty).
See the problem?
Stay Safe, and stay smart!