PayPal removing merchants from their list who provide VPN/DNS services?

Just received this email from Unotelly telling me that PayPal has refused payments to them because of the nature of their business. A gist from their email:

Thank you for your continued support at UnoTelly. My name is Nicholas Lin, and I’m the founder of UnoTelly.

On February 3rd, 2016, Paypal has severed payment processing agreement unilaterally and without prior warning. Paypal indicated that UnoTelly is not allowed to provide services that enable open and unrestricted Internet access.

As result, UnoTelly can no longer accept payment from Paypal. This development is outside of our control, and I sincerely apologize for the inconvenience.

If you believe in an open Internet and value the services UnoTelly is providing, I hope you would continue your subscription by updating your payment method from Paypal to credit card.

Could it be that Netflix et all are now forcing the payment gateways to hurt the Open DNS businesses?

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  • How would or could "Netflix et al" force Paypal to do anything?

  • I don't like Paypal anyway, the fees and conversation rates have put me off it.
    This news is a little concerning, but I wouldn't be using PayPal to begin with if there is an option.

    • If you select the option to let it use the credit card's conversion rate, then you get much better rates than Paypals. I use 28 degrees and use the card's rates..also doesn't cost me any foreign currency conversion fee.

  • The Unotelly website appears to loudly proclaim in large lettering that the reason the service exists is to allow it's users to violate the licensing agreements of content producers by causing the user to appear to be in a different geographic location than they really are.

    What part are you surprised about exactly?

    • We all know what Unotelly is…and we are not discussing about that here. We are trying to speculate if content owners or distribution partners playing a role in forcing payment portals to deny business to the multiples of VPN/DNS providers.

  • Yes, next question?