PayPal is a common name and is used widely when it comes to online financial transactions, may it be transferring money to others; withdraw money in different currencies, hold balance in PayPal accounts, online shopping and so forth.
The online transaction facilitator PayPal has played a major role in enhancing the electronic trade by making it error free and more reliable for customers to carry out financial transaction at any time from any place they wish to work in. This facilitator has undergone a chain of modifications, restructuring tough competitions and secured the place now it owns. PayPal is open to all queries with a dedicated PayPal customer services team.
In December of 1998, Confinity, Mother Company of Paypal was set up by Luke Nosek, Peter Thiel and Max levchin. The Idea for such a company was brought up by Max Levchin, the concept was funded by Peter Theil who was later pushed to the position of the Chief Executive Officer of the company by persuasion from Max. In the first month of 1999, Elon Musk launches a company called X.com that deals in finances and Musk is impressed by the futuristic vision of the Confirnity product PayPal (as the name suggests pay your closest friend). In month of July, same year, the mother company Confirnity announces commencement of the trend setting online payment service the PayPal. Nokia Ventures, on the day of launch, uses the tool to send three million dollars on stage. In September after thorough testing the product is thrown open to public.
In month of November same year the company launches the website and through referrals asks its employees to promote it by offering $1 for signing-up by friends and relatives. In the last month of 1999, Musk adds this online-payment mechanism to his financial-services company X.com’s account and makes it as a focus for development. In a period of next couple of months the mother company identifies that eBay can be a promising-area for acquiring a strong user-base and feels they (eBay) will adopt the system due to a lack of robust payment-system in use then at eBay.
In 2000 March, eBay introduces its online payment system called by the name BillPoint, which was developed in cooperation with Wells Fargo. Now this can be a serious threat to PayPal as it would lose its users to the Billpoint. Simultaneously, here at X.com and Confirmity discussions were going on for a merger. In June month of 2000, Paypal comes up with paid accounts for sellers and buyers. In the October month of same year Elon Musk gives way for Peter Theil to take over as interim CEO of the firm and the focus shift from the X.com to the PayPal money-service. The period from 2000 to 2001 saw PayPal reaffirming its system and cracking upon heavily on fraudsters done with introduction of Captchas. In February 2002 PayPal is made public and the shares are sold out to raise funds for investments and expansions. In July same year eBay acquires PayPal. In 2008 Paypal acquires fraud sciences to nail down fraudulent activities in its site.
The firm expanded steadily and in June 27 of 2011, it touched hundred million users mark. And with the following years PayPal rose with introduction of many products and acquisitions with the recent one being a peer-to-peer payment system named as Slack-bot.