PayPal Marketplaces is a new platform-centric payments system, which is more "crowdfunding" friendly. Marketplaces is more crowdfunding friendly because it allows you, the project creator, the access to manage the risk and fraud detection as well as handle disputes and chargebacks directly. You can also leave this control with PayPal, but the access to manage it directly is now available.
The flexibility offered by PayPal Marketplaces should help prevent your account from getting frozen, although it can still happen in certain circumstances. Another change with the new system is our fee ( % upsell) is automatically deducted as the transactions process, as it is with Stripe, instead of a separate transaction daily.
We’ve already started using PayPal Marketplaces, any project currently accepting PayPal payments is already using the new system. New customers will be using Marketplaces if PayPal is enabled as a payment option during the survey. Any previous customers who had PayPal connected in the past, if your account has been disconnected simply reconnect your PayPal account to start accepting payments under the new Marketplace system. Click here for help with connecting your PayPal account.
Seeking additional information directly from PayPal? Click here to visit the PayPal Partners Solutions page.