Report: PayPal takes a gamble

According to CNBC, PayPal has quietly begun partnering with online gambling sites to accept PayPal funds for payment.



Although PayPal has been consistently accepted by some foreign gambling sites, it has not been used by any U.S. gambling sites since its 2003 acquisition by eBay Inc. Now that PayPal is operating as a separate company, it has apparently started working with U.S. gambling sites again.



PayPal’s official policy states it cannot be used for any online gambling, unless PayPal has approved the merchant. PayPal has been working in the U.S. with daily fantasy sports sites including DraftKings and FanDuel, which are not technically gambling sites but do offer prizes in contests based on entry fees.



PayPal has not formally announced that it is working with gambling sites. However, the company told CNBC is it conducting a pilot with four U.S. online gambling providers. Two of those sites have been identified as WSOP.com and DerbyGames.com.