PayPal Freezes Account of X-Com Remake

October 10, 2011 -

PayPal can't seem to be able to differentiate between legal commerce and nefarious activity taking place in its service. For the third time in recent memory the leader in virtual currency has frozen the account of an indie developer over the money it has generated for making and selling a game. Game developer Goldhawk Interactive says that PayPal has locked down around $4,300 because its account has generated a lot of funds in a very short amount of time. While the money won’t shut down the development of its X-Com-like game Xenonauts, the company says that all the bells and whistles that it wanted to include may be off the table.

"There's enough left in our corporate bank account to get the game finished," designer Chris England wrote on the Xenonauts site. "Whether we'll be able to implement all the 'nice-to-have' features on that budget (such as our new UI style) remains to be seen, but we'll be able to complete it to the original spec on the funds we currently have.

However, losing our only source of income is obviously going to be disruptive to the project, as we were getting a good source of income from pre-orders up to this point," England said. "It's also not the ideal way to mark the start of my full-time work on the project. However, I'll keep you guys posted on how things turn out.
"

This is not the first time PayPal has flagged a game developer's account for generating a lot of money from sales. In September of last year PayPal froze the account of Minecraft maker Mojang because they generated $750,000 in sales. The makers of Project Zomboid had their account locked in May for much the same reason.

This is just speculation, but maybe this has less to do with PayPal and more with some sort of Homeland security edict about large funds being funneled through services such as PayPal. We honestly don't know the reasons for these lockdowns, but we do know that when this happens it can have a devastating effect on a small developer.. Not giving users some sort of notice seems wrong. If PayPal really wants entrepreneurs to use their services they need to get better at communicating with them when there's a problem such as this. People will understand more if they know what's going on and get some sort of due process.

Source: RPS by way of Kotaku. Thanks to Uncharted NES for the link.


 
Forgot your password?
Username :
Password :

Shout box

You're not permitted to post shouts.
Andrew EisenFor anyone interested, here's the research paper on the search algorithm: http://arxiv.org/pdf/1502.03519v1.pdf03/04/2015 - 12:11pm
WonderkarpGawker to be Penalized by new "Fact-Based" Search Algorithm, Says Google. http://dailycaller.com/2015/03/03/gawker-to-be-penalized-by-new-fact-based-search-algorithm-says-google/03/04/2015 - 11:54am
Neo_DrKefkaMost also came with a free PS TV. Not a big fan but it did come with a free HDMI cord03/04/2015 - 7:40am
Andrew Eisen20.2 million PS4 consoles sold as of March 1. http://www.prnewswire.com/news-releases/playstation4-ps4-sales-surpass-202-million-units-worldwide-300045019.html03/04/2015 - 12:33am
MechaTama31Goth: True, but you can at least not waste your time reloading pages that have no new comments, or trying to remember which stories you even commented on.03/04/2015 - 12:26am
ZippyDSMleeI like nivida as well but this is kinda sad, http://arstechnica.com/gaming/2015/02/nvidia-hit-with-class-action-lawsuit-over-graphics-card-ram-issues/03/04/2015 - 12:23am
Goth_SkunkTo be fair, the tracker only advises you of threads that you've commented on have received more comments. It does nothing towards advising you if you've been replied to.03/04/2015 - 12:21am
ZippyDSMleeSeems you can make a link to the trackpage and ti will go there for as long as you are loged in.03/03/2015 - 11:26pm
ZippyDSMleeOh wow you can do that? I been just checking my posts 0-o03/03/2015 - 11:24pm
Matthew Wilsononly news worth while is a console that is about wiiu power for 200 bucks, but who cares.03/03/2015 - 11:12pm
MechaTama31Is it possible to make it so clicking on your username takes you to your Track page instead of your Edit page? I use the Track page routinely to see if anybody has replied to me. Editing my profile, not so much. Save a bit of wear and tear on my mouse?03/03/2015 - 10:44pm
Matthew Wilsonhttp://www.twitch.tv/nvidia is going to do a GDC conference, but god dam their preshow is so cringe worthy. ps I have a nvida card, and like their stuff, but still...03/03/2015 - 9:31pm
ZippyDSMlee.....win8 hates any left over hidden install partitions from other version of windows....only waste 5 hours finding that out...its ahrder than you think keeping up with 4 or 5 HDDS......03/03/2015 - 4:44am
Matthew WilsonI am going to pax east, any games you guys want me to check out?03/02/2015 - 11:23pm
ZippyDSMleeNo one remembers the days of Cinemagic and Cynergy eh? :P, meh even MGS is getting to film like....03/02/2015 - 8:44pm
MechaTama31I was about to get all defensive about liking Metal Gear Solid, but then I saw that he was talking about "cinematic" as a euphemism for "crappy framerate".03/02/2015 - 8:29pm
prh99Just replace cinematic with the appropriate synonym for poo and you'll have gist of any press release.03/02/2015 - 5:34pm
PHX Corphttps://www.youtube.com/watch?v=vZQDFO2KEPo Jim Sterling Makes Fun of "Cinematic" Gaming03/02/2015 - 3:39pm
Matthew WilsonWOW is copping EVE. http://us.battle.net/wow/en/blog/18141101/introducing-the-wow-token-3-2-2015 I think its a smart move to deal with gold farmers in this way.03/02/2015 - 1:16pm
Matthew WilsonI guess epic is tired of having their lunch eaten by unity. https://www.unrealengine.com/blog/ue4-is-free03/02/2015 - 12:50pm
 

Be Heard - Contact Your Politician