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New PayPal president David Marcus personally responded on Hacker News regarding the story of Elliot Jay who went through personal hell trying to deal with the fact that PayPal had shut down his account and froze his funds, mistaking it for a fraudulent account. Marcus was pleasantly frank about the whole situation, admitting the problems that his company has been facing, including the issues that developers have with PayPal’s API. Pando Daily’s Sarah Lacy doesn’t hold out much hope that the company will be able to fix its problems quickly although given the size of the company, it’s unlikely that new startups will be able to supplant PayPal anytime soon.
