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Does PayPal prohibit transactions associated with games of skill or sweepstakes?
In addition to the restrictions on gambling activities outlined in the Acceptable Use Policy, PayPal also prohibits transactions for non-gambling activities involving an entry fee and prizes, including games of skill or sweepstakes, unless the merchant has obtained prior approval.  Merchants seeking approval under this policy will need to provide PayPal with information clarifying the legality of their service in all jurisdictions in which they do business as well as information regarding how they block users from jurisdictions where their services may be prohibited.  PayPal reserves the right, at its sole discretion, to approve or decline merchants based upon their business model and the supporting information provided by the merchant.

If you wish to inquire about approval under this policy, please send a short business description and your website URL to aup@paypal.com

 
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