Paypal Cuts Off Mega Because It Actually Keeps Your Files Secret

The world could really need a credible alternative to PayPal

There are way too many stories of Paypal unfairly and ridiculously cutting off services that rely on it as a payment mechanism, but here’s yet another one. Mega, the cloud storage provider that is perhaps well-known for being Kim Dotcom’s “comeback” act after the US government shut down Megaupload, has had its Paypal account cut off. The company claims that Paypal was pressured by Visa and Mastercard to cut it off:

Visa and MasterCard then pressured PayPal to cease providing payment services to MEGA.

MEGA provided extensive statistics and other evidence showing that MEGA’s business is legitimate and legally compliant. After discussions that appeared to satisfy PayPal’s queries, MEGA authorised PayPal to share that material with Visa and MasterCard. Eventually PayPal made a non-negotiable decision to immediately terminate services to MEGA. PayPal has apologised for this situation and confirmed that MEGA management are upstanding and acting in good faith. PayPal acknowledged that the business is legitimate, but advised that a key concern was that MEGA has a unique model with its end-to-end encryption which leads to “unknowability of what is on the platform”.

MEGA has demonstrated that it is as compliant with its legal obligations as USA cloud storage services operated by Google, Microsoft, Apple, Dropbox, Box, Spideroak etc, but PayPal has advised that MEGA’s “unique encryption model” presents an insurmountable difficulty.

Link (Techdirt)

The World’s Most Idiotic Copyright Complaint

At least once a month TorrentFreak reports on the often crazy world of DMCA takedown notices. Google is kind enough to publish thousands of them in its Transparency Report and we’re only too happy to spend hours trawling through them.

Every now and again a real gem comes to light, often featuring mistakes that show why making these notices public is not only a great idea but also in the public interest. The ones we found this week not only underline that assertion in bold, but are actually the worst examples of incompetence we’ve ever seen.

German-based Total Wipes Music Group have made these pages before after trying to censor entirely legal content published by Walmart, Ikea, Fair Trade USA and Dunkin Donuts. This week, however, their earlier efforts were eclipsed on a massive scale.

wipedFirst, in an effort to ‘protect’ their album “Truth or Dare” on Maze Records, the company tried to censor a TorrentFreak article from 2012 on how to download anonymously. The notice, found here, targets dozens of privacy-focused articles simply because they have the word “hide” in them.

But it gets worse – much worse. ‘Protecting’ an album called “Cigarettes” on Mona Records, Total Wipes sent Google a notice containing not a single infringing link. Unbelievably one of the URLs targeted an article on how to use PGP on the Mac. It was published by none other than the EFF.

Link (TorrentFreak)