Following Coinbase, PayPal Bans Gab
Social messaging platform Gab has lost its account with PayPal without any valid reasons being given.
PayPal On The Spot For Terminating Gab Account
Social messaging service provider Gab.ai has been banned by PayPal. The messaging platform which was founded two years ago is viewed as the system that will end the social media monopoly foisted on users by the big firms. Following the ban, Gab will no longer have access to its PayPal account.
The ban by Paypal comes just four months after Gab was outlawed by crypto exchange platform Coinbase. PayPal has not issued a valid explanation for the unexpected ban. The ban takes effect immediately. Gab officials confirmed the ban through Twitter stating that it was ‘just because’.
After a look at the email sent to Gab by PayPal, the ban was initiated because the firm has the right to terminate accounts with users anytime without issuing any notice. The email piques curiosity, considering the fact that Paypal did not cite any contractual term that Gab had violated. Many would have assumed that Gab had violated the volume of sales regulation, but it was not cited in the email. The message from PayPal further urged Gab to seek a different mode of payment.
In June, Coinbase did not offer a valid reason for suspending Gab from its platform. Following the ban, Andrew Torba a CEO at Gab stated that centralized trading platforms are like cancer. He stated that such exchanges do not represent what cryptocurrencies stand for.
However, it will only be a matter of time until Gab finds another payment partner. They have the option of many willing participants in the market.
With cryptocurrencies, PayPal has entered into dangerous territory regarding some of its policies. Earlier this year, the online payment platform was scrutinized regarding a mass email urging users not to engage in cryptocurrency trading.
However, it later emerged that the email might not have been authentic. PayPal has engaged in a tussle with crypto lovers over its ability to freeze and terminate accounts at will. Coinbase is also facing criticism just like other centralized exchanges. Customers have claimed that sometimes their funds disappear, in addition to the blockage of trading accounts without notice.