We believe PayPal has created the safest, easiest-to-use, and most cost effective platform for businesses and individuals to send and receive money. Accordingly, it is our belief that this method of electronic money exchange will become a widespread phenomenon over the coming years.

Why should you rely on PayPal for your transactions? Here are a few points about PayPal:

• PayPal offers one of the safest platforms for online commerce with fraud rates at a fraction of those of typical e-commerce offerings.  
• PayPal offers ease and flexibility, accepting all major credit cards (Visa, Mastercard, Discover, and American Express), as well as all major debit cards, electronic check,  and direct transfers.  
• PayPal offers low merchant rates with no set up or recurring costs. We can pass this savings to you.  

Financially, PayPal has shown tremendous business fundamentals:

• PayPal successfully completes over 200,000 transactions per day with over 15 million accounts in 39 countries worldwide.
• PayPal is processing over $12 million in payments per day and has transacted over $5 billion in total payments since launching in 1999.
• While virtually all technology companies have languished in these difficult economic times, PayPal has shown tremendous growth.
• PayPal is cash-flow positive with over $150 million in cash in the bank.

We hope you can share our confidence here as well. See PayPal's Prospectus online for more information on their fundamentals.