[arn3n]

I believe you’re referencing Patrick McKenzie’s takes on fraud, which I agree with — but when he (and others) talk about the optimal amount of fraud they’re usually referring to fraud from “losing money from the company to customers”. This is not PayPal’s case; because PayPal isn’t the victim of fraud on its platform but makes money off its use, their optimal amount of fraud is “as much as they can permit without losing customers or regulators getting up their ass”.

[pixl97]

>usually referring to fraud from “losing money from the company to customers”.

Conversely this can affect customers by the vendor or payment platform blocking transactions that are not fraud.