PayPal has announced changes to its Seller Protection Program, excluding Non-Fungible Tokens (NFTs) with a transaction amount of $10,000 or above, effective from May 20. This means that NFT sales exceeding $10,000 will not be protected against false claims, chargebacks, or scams that could financially harm sellers.
These policy revisions indicate a cautious approach to the growing NFT market. In PayPal’s 10-Q report, it was detailed that the company received a subpoena seeking the production of documents.
PayPal stated that it had cooperated with the SEC’s inquiry.