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article imagePayPal freezes thousands of dollars in mail funds over encryption

By Walter McDaniel     Jul 2, 2014 in Technology
PayPal froze the donations of an encrypted mail site on Tuesday citing concerns about government approval. Now they are simply claiming the entire event was a glitch in their system.
The news comes from the official blog of ProtonMail itself. The donations came in for the project from an Indiegogo project that promised to give people a mail which the NSA cannot crack. They first claimed this violated guidelines on government approval.
PayPal has been donation-phobic over pretty much the entire course of their company. There have been literally hundreds of crowdfunding and donation-centered products that have been locked out. Here are some very different examples from gaming, technology and a cancer charity event. This happens so often that this is not the first time a mail site has had accounts frozen with them.
According to a report by CSO PayPal is blaming the freeze on a "glitch" that falsely marked the ProtonMail project as one needing clearance. Also according to the same source the account has been unfrozen and the problem has been resolved. Whether PayPal has gotten over their fear of donations is another question entirely.
More about Paypal, Technology, Funding, Money, account freeze
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