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<P ALIGN="CENTER"><FONT SIZE=2><B>As filed with the Securities and Exchange Commission on February&nbsp;14, 2002  </B></FONT></P>

<P ALIGN="RIGHT"><FONT SIZE=2><B>Registration No.&nbsp;333-&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</B></FONT></P>

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<P ALIGN="CENTER"><FONT SIZE=4><B>SECURITIES AND EXCHANGE COMMISSION<BR>  </B></FONT><FONT SIZE=2><B>WASHINGTON, D.C. 20549  </B></FONT></P>

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<P ALIGN="CENTER"><FONT SIZE=4><B>FORM S-8  </B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><B>REGISTRATION STATEMENT<BR>
Under<BR>
THE SECURITIES ACT OF 1933  </B></FONT></P>

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<P ALIGN="CENTER"><FONT SIZE=4><B>PayPal,&nbsp;Inc.<BR>  </B></FONT><FONT SIZE=2>(Exact name of Registrant as specified in its charter) </FONT></P>

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<TD WIDTH="49%" ALIGN="CENTER"><FONT SIZE=2><B>Delaware</B></FONT><FONT SIZE=2><BR>
(State or other jurisdiction of<BR>
incorporation or organization)</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="49%" ALIGN="CENTER"><FONT SIZE=2><B>77-0510487</B></FONT><FONT SIZE=2><BR>
(I.R.S. Employer Identification No.)</FONT></TD>
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<P ALIGN="CENTER"><FONT SIZE=2><B>1840 Embarcadero Road<BR>
Palo Alto, California 94303<BR>
(650)&nbsp;251-1100<BR>  </B></FONT><FONT SIZE=2>(Address of Principal Executive Offices including Zip Code) </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><B>PayPal,&nbsp;Inc. 2001 Equity Incentive Plan<BR>
X.Com Corporation 1999 Stock Plan<BR>
Confinity,&nbsp;Inc. 1999 Stock Plan<BR>
PayPal,&nbsp;Inc. 2001 Employee Stock Purchase Plan  </B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>(Full title of the plans) </FONT></P>

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<TD WIDTH="49%" ALIGN="CENTER"><BR><FONT SIZE=2><B>Peter A. Thiel<BR>
Chief Executive Officer<BR>
PayPal, Inc.<BR>
840 Embarcadero Road<BR>
Palo Alto, California 94303<BR>
(650) 251-11000</B></FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><B><BR>&nbsp;</B></FONT></TD>
<TD WIDTH="49%" ALIGN="CENTER"><BR><FONT SIZE=2><B>Copies to:<BR>
Robert A. Koenig, Esq.<BR>
Laura I. Bushnell, Esq.<BR>
Latham &amp; Watkins<BR>
135 Commonwealth Drive<BR>
Menlo Park, California 94025<BR>
(650) 328-4600</B></FONT></TD>
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<P ALIGN="CENTER"><FONT SIZE=2>(Name and address, including zip code, and telephone<BR>
number, including area code, of agent for service) </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><B>CALCULATION OF REGISTRATION FEE  </B></FONT></P>

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<TH WIDTH="43%" ALIGN="CENTER"><FONT SIZE=1><B>Title Of<BR>
Securities To Be<BR>
Registered</B></FONT><BR></TH>
<TH WIDTH="14%" ALIGN="CENTER"><FONT SIZE=1><B>Amount<BR>
To Be<BR>
Registered(1)</B></FONT><BR></TH>
<TH WIDTH="13%" ALIGN="CENTER"><FONT SIZE=1><B>Proposed<BR>
Maximum<BR>
Offering<BR>
Price Per<BR>
Share</B></FONT><BR></TH>
<TH WIDTH="16%" ALIGN="CENTER"><FONT SIZE=1><B>Proposed<BR>
Maximum<BR>
Aggregate<BR>
Offering<BR>
Price</B></FONT><BR></TH>
<TH WIDTH="13%" ALIGN="CENTER"><FONT SIZE=1><B>Amount of<BR>
Registration<BR>
Fee</B></FONT><BR></TH>
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<TD WIDTH="43%"><FONT SIZE=2>Common Stock, par value $0.001 per share</FONT></TD>
<TD WIDTH="14%" ALIGN="CENTER"><FONT SIZE=2>8,662,500(2)</FONT></TD>
<TD WIDTH="13%" ALIGN="CENTER"><FONT SIZE=2>$13 (3)</FONT></TD>
<TD WIDTH="16%" ALIGN="CENTER"><FONT SIZE=2>$112,612,500</FONT></TD>
<TD WIDTH="13%" ALIGN="CENTER"><FONT SIZE=2>$10,360</FONT></TD>
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<TD WIDTH="43%"><FONT SIZE=2>Common Stock, par value $0.001 per share</FONT></TD>
<TD WIDTH="14%" ALIGN="CENTER"><FONT SIZE=2>9,192,656(4)</FONT></TD>
<TD WIDTH="13%" ALIGN="CENTER"><FONT SIZE=2>$1.83 (5)</FONT></TD>
<TD WIDTH="16%" ALIGN="CENTER"><FONT SIZE=2>$16,822,560</FONT></TD>
<TD WIDTH="13%" ALIGN="CENTER"><FONT SIZE=2>$1,548</FONT></TD>
</TR>
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<TD WIDTH="43%"><FONT SIZE=2>Common Stock, par value $0.001 per share</FONT></TD>
<TD WIDTH="14%" ALIGN="CENTER"><FONT SIZE=2>1,625,000(6)</FONT></TD>
<TD WIDTH="13%" ALIGN="CENTER"><FONT SIZE=2>$13 (3)</FONT></TD>
<TD WIDTH="16%" ALIGN="CENTER"><FONT SIZE=2>$21,125,000</FONT></TD>
<TD WIDTH="13%" ALIGN="CENTER"><FONT SIZE=2>$1,944</FONT></TD>
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<TD WIDTH="43%"><FONT SIZE=2>Total</FONT></TD>
<TD WIDTH="14%" ALIGN="CENTER"><FONT SIZE=2>19,480,156</FONT></TD>
<TD WIDTH="13%" ALIGN="CENTER"><FONT SIZE=2>&#151;</FONT></TD>
<TD WIDTH="16%" ALIGN="CENTER"><FONT SIZE=2>$150,560,060</FONT></TD>
<TD WIDTH="13%" ALIGN="CENTER"><FONT SIZE=2>$13,852</FONT></TD>
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<DT style='margin-bottom:-11pt;'><FONT SIZE=1>(1)</FONT></DT><DD><FONT SIZE=1>This
Registration Statement shall also cover any additional shares of Common Stock which become issuable under any of the Plans being registered pursuant to this Registration
Statement by reason of any stock dividend, stock split, recapitalization or any other similar transaction effected without the receipt of consideration which results in an increase in the number of
the Registrant's outstanding shares of Common Stock. </FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=1>(2)</FONT></DT><DD><FONT SIZE=1>Represents
8,662,500 shares reserved for issuance upon the exercise of stock options that may be granted under the PayPal,&nbsp;Inc. 2001 Equity Incentive Plan. </FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=1>(3)</FONT></DT><DD><FONT SIZE=1>Estimated
for the purpose of calculating the registration fee pursuant to Rule&nbsp;457(c) under the Securities Act of 1933, as amended, on the basis of the average of the high
($14) and low ($12) proposed offering price to the public of a share of Common Stock of the Registrant as set forth in an amendment to the Registrant's Registration Statement on
Form&nbsp;S-1 filed with the Securities and Exchange Commission on January&nbsp;18, 2002. </FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=1>(4)</FONT></DT><DD><FONT SIZE=1>Represents
377,500 shares subject to options outstanding under the PayPal,&nbsp;Inc. 2001 Equity Incentive Plan, 1,668,829 shares subject to options outstanding under the
X.Com,&nbsp;Inc. 1999 Stock Plan, and 291,917 shares subject to options outstanding under the Confinity,&nbsp;Inc. 1999 Stock Plan, which options were assumed by the registrant in connection with
the acquisition of Confinity,&nbsp;Inc. in March&nbsp;2000. Also represents 460,000 shares issued by the registrant pursuant to the exercise of options granted under the 2001 Equity Incentive
Plan, 3,017,673 shares issued by the registrant pursuant to the exercise of options granted under the X.Com,&nbsp;Inc. 1999 Plan, and 3,376,737 shares issued by the registrant pursuant to the
exercise of options granted under the Confinity Plan, which options were assumed by the registrant in connection with the acquisition of Confinity,&nbsp;Inc. in March&nbsp;2000 </FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=1>(5)</FONT></DT><DD><FONT SIZE=1>Estimated
for the purpose of calculating the registration fee pursuant to Rule&nbsp;457(h) under the Securities Act of 1933, as amended. The price of $1.83 per share represents the
weighted average exercise price for such outstanding options. </FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=1>(6)</FONT></DT><DD><FONT SIZE=1>Represents
1,625,000 shares reserved for issuance under the PayPal,&nbsp;Inc. 2001 Employee Stock Purchase Plan. </FONT></DD></DL>
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<BR></FONT><FONT SIZE=2><B>PART I<BR>  <BR>  INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS    <BR>  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The information called for in Part&nbsp;I of Form&nbsp;S-8 is not being filed with or included in this Registration Statement on Form
S-8 (by incorporation by reference or otherwise) in accordance with the rules and regulations of the Securities and Exchange Commission (the "Commission"). </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="de1132_part_ii_information_req__de102463"> </A>
<A NAME="toc_de1132_2"> </A>
<BR></FONT><FONT SIZE=2><B>PART II<BR>  <BR>  INFORMATION REQUIRED IN THE REGISTRATION STATEMENT    <BR>  </B></FONT></P>

<P><FONT SIZE=2><A
NAME="de1132_item_3._incorporation_of_documents_by_reference"> </A>
<A NAME="toc_de1132_3"> </A></FONT> <FONT SIZE=2><B>Item 3. Incorporation of Documents by Reference    <BR>  </B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following documents, which were filed with the Commission, are incorporated herein by reference: </FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>(a)</FONT></DT><DD><FONT SIZE=2>The
Registrant's Prospectus filed pursuant to Rule&nbsp;424(b) under the Securities Act of 1933, as amended (the "Securities Act"), which contains audited financial statements of
the Registrant as of September&nbsp;30, 2001 and the related consolidated statement of operations.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>(b)</FONT></DT><DD><FONT SIZE=2>The
description of The Registrant's common stock contained in the Registrant's Registration Statement on Form&nbsp;8-A filed under Section&nbsp;12(g) of the Securities
Exchange Act of 1934, as amended (the "Exchange Act"), including any amendment or report filed for the purpose of updating such description. </FONT></DD></DL>
</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All
documents subsequently filed by the Registrant pursuant to Sections 13(a), 13(c), 14 and 15(d) of the Exchange Act after the date of this Registration Statement and prior to the
filing of a post-effective amendment which indicates that all securities offered hereby have been sold or which deregisters all securities then remaining unsold, shall be deemed to be
incorporated by reference herein and to be a part of this Registration Statement from the date of the filing of such documents. Any statement
contained in a document incorporated or deemed to be incorporated by reference herein shall be deemed to be modified or superseded for purposes of this Registration Statement to the extent that a
statement contained in this Registration Statement, or in any other subsequently filed document which also is or is deemed to be incorporated by reference in this Registration Statement, modifies or
supersedes such statement. Any such statement so modified or superseded shall not be deemed, except as so modified or superseded, to constitute a part of this Registration Statement. </FONT></P>

<P><FONT SIZE=2><A
NAME="de1132_item_4._description_of_securities"> </A>
<A NAME="toc_de1132_4"> </A>
<BR></FONT><FONT SIZE=2><B>Item 4. Description of Securities    <BR>  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not Applicable. </FONT></P>

<P><FONT SIZE=2><A
NAME="de1132_item_5._interests_of_named_experts_and_counsel"> </A>
<A NAME="toc_de1132_5"> </A>
<BR></FONT><FONT SIZE=2><B>Item 5. Interests of Named Experts and Counsel    <BR>  </B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not Applicable. </FONT></P>

<P><FONT SIZE=2><A
NAME="de1132_item_6._indemnification_of_directors_and_officers"> </A>
<A NAME="toc_de1132_6"> </A>
<BR></FONT><FONT SIZE=2><B>Item 6. Indemnification of Directors and Officers    <BR>  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Section&nbsp;145 of the Delaware General Corporation Law permits a corporation to indemnify any person who was or is, or is threatened to be made a party to any
threatened, pending or completed suit or proceeding, whether civil, criminal, administrative or investigative, by reason of the fact that he or she is or was a director, officer, employee or agent of
the corporation or is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, against
expenses, judgments, fines and amounts paid in settlement actually and reasonably incurred by him in connection with such action. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A
corporation may indemnify against expenses (including attorneys' fees) and, except for an action by or in the name of the corporation, against judgments, fines and amounts paid in
settlement as part </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>3</FONT></P>

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of such suit or proceeding. This applies only if the person indemnified acted in good faith and in a manner he or she reasonably believed to be in the best interest of the corporation. In addition,
with respect to any criminal action or proceeding, the person had no reasonable cause to believe his or her conduct was unlawful. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
the case of an action by or in the name of the corporation, no indemnification of expenses may be made for any claim, as to which the person has been found to be liable to the
corporation. The
exception is if the court in which such action was brought determines that the person is reasonably entitled to indemnity for expenses. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Section&nbsp;145
of the Delaware General Corporation Law further provides that if a director, officer, employee or agent of the corporation has been successful in the defense of any
suit, claim or proceeding described above, he or she will be indemnified for expenses (including attorneys' fees) actually and reasonably incurred by him or her. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article&nbsp;IX
of the Registrant's Restated Certificate of Incorporation provides that to the fullest extent permitted by the Delaware General Corporation Law, a director of the
Registrant shall not be personally liable to the Registrant or its stockholders for monetary damages for breach of fiduciary duty as a director. In addition, Article&nbsp;IX provides that the
Registrant may indemnify to the fullest extent permitted by law any person made or threatened to be made a party to an action or proceeding, whether criminal, civil, administrative or investigative,
by reason of the fact that such person or his or her testator or intestate is or was a director, officer or employee of the Registrant, or any predecessor of the Registrant, or serves or served at any
other enterprise as a director, officer or employee at the request of the Registrant or any predecessor to the Registrant. Article&nbsp;IX also provides that the Registrant may, to the fullest
extent permitted by law, purchase and maintain insurance on behalf of a director or officer against any liability which may be asserted against him or her and may enter into contracts providing for
the indemnification of any such person to the fullest extent permitted by law. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Article&nbsp;VI
of the Registrant's Bylaws provides for the indemnification of directors, officers, employees and other agents acting on behalf of the Registrant to the fullest extent
permissible under the Delaware General Corporation Law. Article&nbsp;VI of the Registrant's Bylaws also permits the Registrant to secure insurance on behalf of any officer, director, employee or
other agent against any liability asserted against him or her and incurred by him or her in any such capacity, or arising out of his or her status as such, whether or not the corporation would have
the power to indemnify him or her against such liability under the provisions of the Delaware General Corporation Law. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Registrant has entered into indemnification agreements with its directors. </FONT></P>

<P><FONT SIZE=2><A
NAME="de1132_item_7._exemption_from_registration_claimed"> </A>
<A NAME="toc_de1132_7"> </A>
<BR></FONT><FONT SIZE=2><B>Item 7. Exemption from Registration Claimed    <BR>  </B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not Applicable. </FONT></P>

<P><FONT SIZE=2><A
NAME="de1132_item_8._exhibits"> </A>
<A NAME="toc_de1132_8"> </A>
<BR></FONT><FONT SIZE=2><B>Item 8. Exhibits    <BR>  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;See the Exhibit Index located after the signature pages. </FONT></P>

<P><FONT SIZE=2><A
NAME="de1132_item_9._undertakings"> </A>
<A NAME="toc_de1132_9"> </A>
<BR></FONT><FONT SIZE=2><B>Item 9. Undertakings    <BR>  </B></FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>(a)</FONT></DT><DD><FONT SIZE=2>The
undersigned Registrant hereby undertakes:
<BR><BR></FONT>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>(1)</FONT></DT><DD><FONT SIZE=2>To
file, during any period in which offers or sales are being made, a post-effective amendment to this Registration Statement:
<BR><BR></FONT>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>(i)</FONT></DT><DD><FONT SIZE=2>To
include any prospectus required by Section&nbsp;10(a)(3) of the Securities Act; </FONT></DD></DL>
</DD></DL>
</DD></DL>
</UL>
<P ALIGN="CENTER"><FONT SIZE=2>4</FONT></P>

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<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>(ii)</FONT></DT><DD><FONT SIZE=2>To
reflect in the prospectus any facts or events arising after the effective date of this Registration Statement (or the most recent
post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set forth in the Registration Statement. Notwithstanding the
foregoing, any increase or decrease in volume of securities offered (if the total dollar value of securities offered would not exceed that which was registered) and any deviation from the low or high
end of the estimated maximum offering range may be reflected in the form of prospectus filed with the Commission pursuant to Rule&nbsp;424(b) if, in the aggregate, the changes in volume and price
represent no more than 20&nbsp;percent change in the maximum aggregate offering price set forth in the "Calculation of Registration Fee" table in the effective Registration Statement.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>(iii)</FONT></DT><DD><FONT SIZE=2>To
include any material information with respect to the plan of distribution not previously disclosed in the Registration Statement or any material
change to such information in the Registration Statement; </FONT></DD></DL>
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</UL>
</UL>
<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><I>provided, however</I></FONT><FONT SIZE=2>, that paragraphs (a)(1)(i)&nbsp;and (a)(1)(ii)&nbsp;do not apply if the information required to be included in a
post-effective amendment by those paragraphs is contained in periodic reports filed with or furnished to the Commission by the Registrant pursuant to Section&nbsp;13 or
Section&nbsp;15(d) of the Exchange Act that are incorporated by reference in the Registration Statement. </FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>(2)</FONT></DT><DD><FONT SIZE=2>That,
for the purpose of determining any liability under the Securities Act, each such post-effective amendment shall be deemed to be a new registration statement relating
to the securities offered
therein, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>(3)</FONT></DT><DD><FONT SIZE=2>To
remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at the termination of the offering. </FONT></DD></DL>
</UL>
</UL>
<BR>
<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>(b)</FONT></DT><DD><FONT SIZE=2>The
undersigned Registrant hereby undertakes that, for purposes of determining any liability under the Securities Act, each filing of the Registrant's annual report pursuant to
Section&nbsp;13(a) or Section&nbsp;15(d) of the Exchange Act (and, where applicable, each filing of an employee benefit plan's annual report pursuant to Section&nbsp;15(d) of the Exchange Act)
that is incorporated by reference in the Registration Statement shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at
that time shall be deemed to be the initial bona fide offering thereof.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>(c)</FONT></DT><DD><FONT SIZE=2>Insofar
as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers and controlling persons of the Registrant pursuant to the foregoing
provisions, or otherwise, the Registrant has been advised that in the opinion of the Commission such indemnification is against public policy as expressed in the Securities Act and is, therefore,
unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the Registrant of expenses incurred or paid by a director, officer or controlling
person of the Registrant in the successful defense of any action, suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered,
the Registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification
by it is against public policy as expressed in the Securities Act and will be governed by the final adjudication of such issue. </FONT></DD></DL>
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<P ALIGN="CENTER"><FONT SIZE=2>5</FONT></P>

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<BR></FONT><FONT SIZE=2><B>SIGNATURES    <BR>  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Act of 1933, the Registrant certifies that it has reasonable grounds to believe that it meets all of the
requirements for filing on Form&nbsp;S-8 and has duly caused this Registration Statement to be signed on its behalf by the undersigned thereunto duly authorized, in the city of Palo
Alto, state of California, on this 5<SUP>th</SUP> day of February, 2002. </FONT></P>

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<TD WIDTH="47%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD COLSPAN=2><FONT SIZE=2><B>PAYPAL, INC.</B></FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="47%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="4%"><FONT SIZE=2><BR>
By:</FONT></TD>
<TD WIDTH="46%"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>PETER A. THIEL</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> Peter A. Thiel<BR></FONT> <FONT SIZE=2><I>Chief Executive Officer and President</I></FONT></TD>
</TR>
</TABLE>
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<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="jc1132_power_of_attorney"> </A>
<A NAME="toc_jc1132_2"> </A>
<BR></FONT><FONT SIZE=2><B>POWER OF ATTORNEY    <BR>  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below hereby constitutes and appoints Peter A. Thiel, Roelof F. Botha, and John D.
Muller, jointly and severally, his attorneys-in-fact and agents, each with power of substitution and resubstitution, for him and in his name, place or stead, in any and all
capacities, to sign any amendments to this Registration Statement on Form&nbsp;S-8, and to file such amendments, together with exhibits and other documents in connection therewith, with
the Securities and Exchange Commission, granting to each attorney-in-fact and agent, full power and authority to do and perform each and every act and thing requisite and
necessary to be done in and about the premises, as fully as he or she might or could do in person, and ratifying and confirming all that the attorney-in-fact and agents, or his
or her substitute or substitutes, may do or cause to be done by virtue hereof. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant
to the requirements of the Securities Act of 1933, this Registration Statement has been signed by the following persons in the capacities and on the date indicated. </FONT></P>

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<TABLE WIDTH="100%" BORDER=0 CELLSPACING=0 CELLPADDING=0>
<TR VALIGN="BOTTOM">
<TH WIDTH="38%" ALIGN="LEFT"><FONT SIZE=1><B>Signature<BR> </B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="35%" ALIGN="LEFT"><FONT SIZE=1><B>Title<BR> </B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="21%" ALIGN="LEFT"><FONT SIZE=1><B>Date<BR> </B></FONT><HR NOSHADE></TH>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="38%" ALIGN="CENTER"><BR><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="35%" VALIGN="TOP"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="21%" VALIGN="CENTER"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="38%" ALIGN="CENTER" VALIGN="BOTTOM"><FONT SIZE=2>/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>PETER A. THIEL</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;<BR></FONT>
<HR NOSHADE><FONT SIZE=2> Peter A. Thiel</FONT></TD>
<TD WIDTH="3%" VALIGN="BOTTOM"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="35%" ALIGN="CENTER"><FONT SIZE=2>Chief Executive Officer, President and Chairman of the Board </FONT><FONT SIZE=2><I>(Principal Executive Officer)</I></FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="21%" ALIGN="CENTER" VALIGN="CENTER"><FONT SIZE=2>February 5, 2002</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="38%" ALIGN="CENTER" VALIGN="BOTTOM"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>ROELOF F. BOTHA</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> Roelof F. Botha</FONT></TD>
<TD WIDTH="3%" VALIGN="BOTTOM"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="35%" ALIGN="CENTER"><FONT SIZE=2><BR>
Chief Financial Officer</FONT><FONT SIZE=2><I> (Principal Financial and Accounting Officer)</I></FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="21%" ALIGN="CENTER" VALIGN="CENTER"><FONT SIZE=2><BR>
February 5, 2002</FONT></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="38%" ALIGN="CENTER"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>MAX R. LEVCHIN</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> Max R. Levchin</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="35%" ALIGN="CENTER" VALIGN="TOP"><FONT SIZE=2><BR>
Director</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="21%" ALIGN="CENTER" VALIGN="CENTER"><FONT SIZE=2><BR>
February 5, 2002</FONT></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="38%" ALIGN="CENTER"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>JOHN C. DEAN</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> John C. Dean</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="35%" ALIGN="CENTER" VALIGN="TOP"><FONT SIZE=2><BR>
Director</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="21%" ALIGN="CENTER" VALIGN="CENTER"><FONT SIZE=2><BR>
February 5, 2002</FONT></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="38%" ALIGN="CENTER"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>TIMOTHY M. HURD</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> Timothy M. Hurd</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="35%" ALIGN="CENTER" VALIGN="TOP"><FONT SIZE=2><BR>
Director</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="21%" ALIGN="CENTER" VALIGN="CENTER"><FONT SIZE=2><BR>
February 5, 2002</FONT></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="38%" ALIGN="CENTER"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>JOHN A. MALLOY</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> John A. Malloy</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="35%" ALIGN="CENTER" VALIGN="TOP"><FONT SIZE=2><BR>
Director</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="21%" ALIGN="CENTER" VALIGN="CENTER"><FONT SIZE=2><BR>
February 5, 2002</FONT></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="38%" ALIGN="CENTER"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>SHAILESH J. MEHTA</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> Shailesh J. Mehta</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="35%" ALIGN="CENTER" VALIGN="TOP"><FONT SIZE=2><BR>
Director</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="21%" ALIGN="CENTER" VALIGN="CENTER"><FONT SIZE=2><BR>
February 5, 2002</FONT></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="38%" ALIGN="CENTER"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>MICHAEL J. MORITZ</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> Michael J. Moritz</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="35%" ALIGN="CENTER" VALIGN="TOP"><FONT SIZE=2><BR>
Director</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="21%" ALIGN="CENTER" VALIGN="CENTER"><FONT SIZE=2><BR>
February 5, 2002</FONT></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="38%" ALIGN="CENTER"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>ELON R. MUSK</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> Elon R. Musk</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="35%" ALIGN="CENTER" VALIGN="TOP"><FONT SIZE=2><BR>
Director</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="21%" ALIGN="CENTER" VALIGN="CENTER"><FONT SIZE=2><BR>
February 5, 2002</FONT></TD>
</TR>
</TABLE>
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<P ALIGN="CENTER"><FONT SIZE=2>6</FONT></P>

<HR NOSHADE>
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<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="page_ka1132_1_7"> </A> </FONT></P>

<!-- TOC_END -->
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ka1132_index_to_exhibits"> </A>
<A NAME="toc_ka1132_1"> </A>
<BR></FONT><FONT SIZE=2><B>INDEX TO EXHIBITS    <BR>  </B></FONT></P>

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<TABLE WIDTH="100%" BORDER=0 CELLSPACING=0 CELLPADDING=0>
<TR VALIGN="BOTTOM">
<TH WIDTH="11%" ALIGN="CENTER"><FONT SIZE=1><B>EXHIBIT<BR> </B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="86%" ALIGN="CENTER"><FONT SIZE=1><B>DESCRIPTION<BR> </B></FONT><HR NOSHADE></TH>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="11%" ALIGN="CENTER"><FONT SIZE=2><BR>
4.1*</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="86%" VALIGN="CENTER"><FONT SIZE=2><BR>
PayPal, Inc. 2001 Equity Incentive Plan</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="11%" ALIGN="CENTER"><FONT SIZE=2><BR>
4.2*</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="86%" VALIGN="CENTER"><FONT SIZE=2><BR>
PayPal, Inc. 2001 Employee Stock Purchase Plan</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="11%" ALIGN="CENTER"><FONT SIZE=2><BR>
4.3*</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="86%" VALIGN="CENTER"><FONT SIZE=2><BR>
X.Com Corporation 1999 Stock Plan</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="11%" ALIGN="CENTER"><FONT SIZE=2><BR>
4.4*</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="86%" VALIGN="CENTER"><FONT SIZE=2><BR>
Confinity, Inc. 1999 Stock Plan</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="11%" ALIGN="CENTER"><FONT SIZE=2><BR>
5.1</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="86%" VALIGN="CENTER"><FONT SIZE=2><BR>
Opinion of Latham &amp; Watkins</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="11%" ALIGN="CENTER"><FONT SIZE=2><BR>
23.1</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="86%" VALIGN="CENTER"><FONT SIZE=2><BR>
Consent of Latham &amp; Watkins (included in Exhibit 5.1 hereto)</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="11%" ALIGN="CENTER"><FONT SIZE=2><BR>
23.2</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="86%" VALIGN="CENTER"><FONT SIZE=2><BR>
Consent of PricewaterhouseCoopers LLP</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="11%" ALIGN="CENTER"><FONT SIZE=2><BR>
24.1</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="86%" VALIGN="CENTER"><FONT SIZE=2><BR>
Power of Attorney (included on the signature page to this Registration Statement)</FONT></TD>
</TR>
</TABLE>
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<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Documents
incorporated by reference to the Registrant's Registration Statement on Form&nbsp;S-1, as amended (No.&nbsp;333-70438). </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>7</FONT></P>

<HR NOSHADE>
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<BR>
<P><br><A NAME="02PAL1132_1">QuickLinks</A><br></P><!-- TOC_BEGIN -->
<FONT SIZE=2><A HREF="#toc_de1132_1">PART I INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS</A></FONT><BR>
<FONT SIZE=2><A HREF="#toc_de1132_2">PART II INFORMATION REQUIRED IN THE REGISTRATION STATEMENT</A></FONT><BR>
<UL>
<FONT SIZE=2><A HREF="#toc_de1132_3">Item 3. Incorporation of Documents by Reference</A></FONT><BR>
<FONT SIZE=2><A HREF="#toc_de1132_4">Item 4. Description of Securities</A></FONT><BR>
<FONT SIZE=2><A HREF="#toc_de1132_5">Item 5. Interests of Named Experts and Counsel</A></FONT><BR>
<FONT SIZE=2><A HREF="#toc_de1132_6">Item 6. Indemnification of Directors and Officers</A></FONT><BR>
<FONT SIZE=2><A HREF="#toc_de1132_7">Item 7. Exemption from Registration Claimed</A></FONT><BR>
<FONT SIZE=2><A HREF="#toc_de1132_8">Item 8. Exhibits</A></FONT><BR>
<FONT SIZE=2><A HREF="#toc_de1132_9">Item 9. Undertakings</A></FONT><BR>
</UL>
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<FONT SIZE=2><A HREF="#toc_jc1132_1">SIGNATURES</A></FONT><BR>
<FONT SIZE=2><A HREF="#toc_jc1132_2">POWER OF ATTORNEY</A></FONT><BR>
<!-- TOC_BEGIN -->
<FONT SIZE=2><A HREF="#toc_ka1132_1">INDEX TO EXHIBITS</A></FONT><BR>
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[{"type": "S-8", "sequence": "1", "filename": "a2069595zs-8.htm", "description": "S-8", "secsgml_size_bytes": 37786}]
{"company-data": {"conformed-name": "PAYPAL INC", "cik": "0001103415", "assigned-sic": "4822", "irs-number": "770510487", "state-of-incorporation": "DE"}, "filing-values": {"form-type": "S-8", "act": "33", "file-number": "333-82826", "film-number": "02550494"}, "business-address": {"street1": "1840 EMBARCADERO ROAD", "city": "PALO ALTO", "state": "CA", "zip": "94303", "phone": "6502511100"}, "former-company": {"former-conformed-name": "X COM CORP", "date-changed": "20010604"}}
Prepared by MERRILL CORPORATION
QuickLinks
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As filed with the Securities and Exchange Commission on February 14, 2002
Registration No. 333-
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM S-8
REGISTRATION STATEMENT
Under
THE SECURITIES ACT OF 1933
PayPal, Inc.
(Exact name of Registrant as specified in its charter)
Delaware
(State or other jurisdiction of
incorporation or organization)
77-0510487
(I.R.S. Employer Identification No.)
1840 Embarcadero Road
Palo Alto, California 94303
(650) 251-1100
(Address of Principal Executive Offices including Zip Code)
PayPal, Inc. 2001 Equity Incentive Plan
X.Com Corporation 1999 Stock Plan
Confinity, Inc. 1999 Stock Plan
PayPal, Inc. 2001 Employee Stock Purchase Plan
(Full title of the plans)
Peter A. Thiel
Chief Executive Officer
PayPal, Inc.
840 Embarcadero Road
Palo Alto, California 94303
(650) 251-11000
Copies to:
Robert A. Koenig, Esq.
Laura I. Bushnell, Esq.
Latham & Watkins
135 Commonwealth Drive
Menlo Park, California 94025
(650) 328-4600
(Name and address, including zip code, and telephone
number, including area code, of agent for service)
CALCULATION OF REGISTRATION FEE
Title Of
Securities To Be
Registered
Amount
To Be
Registered(1)
Proposed
Maximum
Offering
Price Per
Share
Proposed
Maximum
Aggregate
Offering
Price
Amount of
Registration
Fee
Common Stock, par value $0.001 per share
8,662,500(2)
$13 (3)
$112,612,500
$10,360
Common Stock, par value $0.001 per share
9,192,656(4)
$1.83 (5)
$16,822,560
$1,548
Common Stock, par value $0.001 per share
1,625,000(6)
$13 (3)
$21,125,000
$1,944
Total
19,480,156
—
$150,560,060
$13,852
(1)
This
Registration Statement shall also cover any additional shares of Common Stock which become issuable under any of the Plans being registered pursuant to this Registration
Statement by reason of any stock dividend, stock split, recapitalization or any other similar transaction effected without the receipt of consideration which results in an increase in the number of
the Registrant's outstanding shares of Common Stock.
(2)
Represents
8,662,500 shares reserved for issuance upon the exercise of stock options that may be granted under the PayPal, Inc. 2001 Equity Incentive Plan.
(3)
Estimated
for the purpose of calculating the registration fee pursuant to Rule 457(c) under the Securities Act of 1933, as amended, on the basis of the average of the high
($14) and low ($12) proposed offering price to the public of a share of Common Stock of the Registrant as set forth in an amendment to the Registrant's Registration Statement on
Form S-1 filed with the Securities and Exchange Commission on January 18, 2002.
(4)
Represents
377,500 shares subject to options outstanding under the PayPal, Inc. 2001 Equity Incentive Plan, 1,668,829 shares subject to options outstanding under the
X.Com, Inc. 1999 Stock Plan, and 291,917 shares subject to options outstanding under the Confinity, Inc. 1999 Stock Plan, which options were assumed by the registrant in connection with
the acquisition of Confinity, Inc. in March 2000. Also represents 460,000 shares issued by the registrant pursuant to the exercise of options granted under the 2001 Equity Incentive
Plan, 3,017,673 shares issued by the registrant pursuant to the exercise of options granted under the X.Com, Inc. 1999 Plan, and 3,376,737 shares issued by the registrant pursuant to the
exercise of options granted under the Confinity Plan, which options were assumed by the registrant in connection with the acquisition of Confinity, Inc. in March 2000
(5)
Estimated
for the purpose of calculating the registration fee pursuant to Rule 457(h) under the Securities Act of 1933, as amended. The price of $1.83 per share represents the
weighted average exercise price for such outstanding options.
(6)
Represents
1,625,000 shares reserved for issuance under the PayPal, Inc. 2001 Employee Stock Purchase Plan.
PART I
INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS
The information called for in Part I of Form S-8 is not being filed with or included in this Registration Statement on Form
S-8 (by incorporation by reference or otherwise) in accordance with the rules and regulations of the Securities and Exchange Commission (the "Commission").
PART II
INFORMATION REQUIRED IN THE REGISTRATION STATEMENT
Item 3. Incorporation of Documents by Reference
The following documents, which were filed with the Commission, are incorporated herein by reference:
(a)
The
Registrant's Prospectus filed pursuant to Rule 424(b) under the Securities Act of 1933, as amended (the "Securities Act"), which contains audited financial statements of
the Registrant as of September 30, 2001 and the related consolidated statement of operations.
(b)
The
description of The Registrant's common stock contained in the Registrant's Registration Statement on Form 8-A filed under Section 12(g) of the Securities
Exchange Act of 1934, as amended (the "Exchange Act"), including any amendment or report filed for the purpose of updating such description.
All
documents subsequently filed by the Registrant pursuant to Sections 13(a), 13(c), 14 and 15(d) of the Exchange Act after the date of this Registration Statement and prior to the
filing of a post-effective amendment which indicates that all securities offered hereby have been sold or which deregisters all securities then remaining unsold, shall be deemed to be
incorporated by reference herein and to be a part of this Registration Statement from the date of the filing of such documents. Any statement
contained in a document incorporated or deemed to be incorporated by reference herein shall be deemed to be modified or superseded for purposes of this Registration Statement to the extent that a
statement contained in this Registration Statement, or in any other subsequently filed document which also is or is deemed to be incorporated by reference in this Registration Statement, modifies or
supersedes such statement. Any such statement so modified or superseded shall not be deemed, except as so modified or superseded, to constitute a part of this Registration Statement.
Item 4. Description of Securities
Not Applicable.
Item 5. Interests of Named Experts and Counsel
Not Applicable.
Item 6. Indemnification of Directors and Officers
Section 145 of the Delaware General Corporation Law permits a corporation to indemnify any person who was or is, or is threatened to be made a party to any
threatened, pending or completed suit or proceeding, whether civil, criminal, administrative or investigative, by reason of the fact that he or she is or was a director, officer, employee or agent of
the corporation or is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, against
expenses, judgments, fines and amounts paid in settlement actually and reasonably incurred by him in connection with such action.
A
corporation may indemnify against expenses (including attorneys' fees) and, except for an action by or in the name of the corporation, against judgments, fines and amounts paid in
settlement as part
3
of such suit or proceeding. This applies only if the person indemnified acted in good faith and in a manner he or she reasonably believed to be in the best interest of the corporation. In addition,
with respect to any criminal action or proceeding, the person had no reasonable cause to believe his or her conduct was unlawful.
In
the case of an action by or in the name of the corporation, no indemnification of expenses may be made for any claim, as to which the person has been found to be liable to the
corporation. The
exception is if the court in which such action was brought determines that the person is reasonably entitled to indemnity for expenses.
Section 145
of the Delaware General Corporation Law further provides that if a director, officer, employee or agent of the corporation has been successful in the defense of any
suit, claim or proceeding described above, he or she will be indemnified for expenses (including attorneys' fees) actually and reasonably incurred by him or her.
Article IX
of the Registrant's Restated Certificate of Incorporation provides that to the fullest extent permitted by the Delaware General Corporation Law, a director of the
Registrant shall not be personally liable to the Registrant or its stockholders for monetary damages for breach of fiduciary duty as a director. In addition, Article IX provides that the
Registrant may indemnify to the fullest extent permitted by law any person made or threatened to be made a party to an action or proceeding, whether criminal, civil, administrative or investigative,
by reason of the fact that such person or his or her testator or intestate is or was a director, officer or employee of the Registrant, or any predecessor of the Registrant, or serves or served at any
other enterprise as a director, officer or employee at the request of the Registrant or any predecessor to the Registrant. Article IX also provides that the Registrant may, to the fullest
extent permitted by law, purchase and maintain insurance on behalf of a director or officer against any liability which may be asserted against him or her and may enter into contracts providing for
the indemnification of any such person to the fullest extent permitted by law.
Article VI
of the Registrant's Bylaws provides for the indemnification of directors, officers, employees and other agents acting on behalf of the Registrant to the fullest extent
permissible under the Delaware General Corporation Law. Article VI of the Registrant's Bylaws also permits the Registrant to secure insurance on behalf of any officer, director, employee or
other agent against any liability asserted against him or her and incurred by him or her in any such capacity, or arising out of his or her status as such, whether or not the corporation would have
the power to indemnify him or her against such liability under the provisions of the Delaware General Corporation Law.
The
Registrant has entered into indemnification agreements with its directors.
Item 7. Exemption from Registration Claimed
Not Applicable.
Item 8. Exhibits
See the Exhibit Index located after the signature pages.
Item 9. Undertakings
(a)
The
undersigned Registrant hereby undertakes:
(1)
To
file, during any period in which offers or sales are being made, a post-effective amendment to this Registration Statement:
(i)
To
include any prospectus required by Section 10(a)(3) of the Securities Act;
4
(ii)
To
reflect in the prospectus any facts or events arising after the effective date of this Registration Statement (or the most recent
post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set forth in the Registration Statement. Notwithstanding the
foregoing, any increase or decrease in volume of securities offered (if the total dollar value of securities offered would not exceed that which was registered) and any deviation from the low or high
end of the estimated maximum offering range may be reflected in the form of prospectus filed with the Commission pursuant to Rule 424(b) if, in the aggregate, the changes in volume and price
represent no more than 20 percent change in the maximum aggregate offering price set forth in the "Calculation of Registration Fee" table in the effective Registration Statement.
(iii)
To
include any material information with respect to the plan of distribution not previously disclosed in the Registration Statement or any material
change to such information in the Registration Statement;
provided, however
, that paragraphs (a)(1)(i) and (a)(1)(ii) do not apply if the information required to be included in a
post-effective amendment by those paragraphs is contained in periodic reports filed with or furnished to the Commission by the Registrant pursuant to Section 13 or
Section 15(d) of the Exchange Act that are incorporated by reference in the Registration Statement.
(2)
That,
for the purpose of determining any liability under the Securities Act, each such post-effective amendment shall be deemed to be a new registration statement relating
to the securities offered
therein, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof.
(3)
To
remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at the termination of the offering.
(b)
The
undersigned Registrant hereby undertakes that, for purposes of determining any liability under the Securities Act, each filing of the Registrant's annual report pursuant to
Section 13(a) or Section 15(d) of the Exchange Act (and, where applicable, each filing of an employee benefit plan's annual report pursuant to Section 15(d) of the Exchange Act)
that is incorporated by reference in the Registration Statement shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at
that time shall be deemed to be the initial bona fide offering thereof.
(c)
Insofar
as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers and controlling persons of the Registrant pursuant to the foregoing
provisions, or otherwise, the Registrant has been advised that in the opinion of the Commission such indemnification is against public policy as expressed in the Securities Act and is, therefore,
unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the Registrant of expenses incurred or paid by a director, officer or controlling
person of the Registrant in the successful defense of any action, suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered,
the Registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification
by it is against public policy as expressed in the Securities Act and will be governed by the final adjudication of such issue.
5
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the Registrant certifies that it has reasonable grounds to believe that it meets all of the
requirements for filing on Form S-8 and has duly caused this Registration Statement to be signed on its behalf by the undersigned thereunto duly authorized, in the city of Palo
Alto, state of California, on this 5
th
day of February, 2002.
PAYPAL, INC.
By:
/s/
PETER A. THIEL
Peter A. Thiel
Chief Executive Officer and President
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below hereby constitutes and appoints Peter A. Thiel, Roelof F. Botha, and John D.
Muller, jointly and severally, his attorneys-in-fact and agents, each with power of substitution and resubstitution, for him and in his name, place or stead, in any and all
capacities, to sign any amendments to this Registration Statement on Form S-8, and to file such amendments, together with exhibits and other documents in connection therewith, with
the Securities and Exchange Commission, granting to each attorney-in-fact and agent, full power and authority to do and perform each and every act and thing requisite and
necessary to be done in and about the premises, as fully as he or she might or could do in person, and ratifying and confirming all that the attorney-in-fact and agents, or his
or her substitute or substitutes, may do or cause to be done by virtue hereof.
Pursuant
to the requirements of the Securities Act of 1933, this Registration Statement has been signed by the following persons in the capacities and on the date indicated.
Signature
Title
Date
/s/
PETER A. THIEL
Peter A. Thiel
Chief Executive Officer, President and Chairman of the Board
(Principal Executive Officer)
February 5, 2002
/s/
ROELOF F. BOTHA
Roelof F. Botha
Chief Financial Officer
(Principal Financial and Accounting Officer)
February 5, 2002
/s/
MAX R. LEVCHIN
Max R. Levchin
Director
February 5, 2002
/s/
JOHN C. DEAN
John C. Dean
Director
February 5, 2002
/s/
TIMOTHY M. HURD
Timothy M. Hurd
Director
February 5, 2002
/s/
JOHN A. MALLOY
John A. Malloy
Director
February 5, 2002
/s/
SHAILESH J. MEHTA
Shailesh J. Mehta
Director
February 5, 2002
/s/
MICHAEL J. MORITZ
Michael J. Moritz
Director
February 5, 2002
/s/
ELON R. MUSK
Elon R. Musk
Director
February 5, 2002
6
INDEX TO EXHIBITS
EXHIBIT
DESCRIPTION
4.1*
PayPal, Inc. 2001 Equity Incentive Plan
4.2*
PayPal, Inc. 2001 Employee Stock Purchase Plan
4.3*
X.Com Corporation 1999 Stock Plan
4.4*
Confinity, Inc. 1999 Stock Plan
5.1
Opinion of Latham & Watkins
23.1
Consent of Latham & Watkins (included in Exhibit 5.1 hereto)
23.2
Consent of PricewaterhouseCoopers LLP
24.1
Power of Attorney (included on the signature page to this Registration Statement)
*      Documents
incorporated by reference to the Registrant's Registration Statement on Form S-1, as amended (No. 333-70438).
7
QuickLinks
PART I INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS
PART II INFORMATION REQUIRED IN THE REGISTRATION STATEMENT
Item 3. Incorporation of Documents by Reference
Item 4. Description of Securities
Item 5. Interests of Named Experts and Counsel
Item 6. Indemnification of Directors and Officers
Item 7. Exemption from Registration Claimed
Item 8. Exhibits
Item 9. Undertakings
SIGNATURES
POWER OF ATTORNEY
INDEX TO EXHIBITS