YouTuber Accuses PayPal's Honey of Fraud

PayPal's browser extension Honey is under fire following allegations of deceptive practices that undermine content creators' affiliate commissions. In a viral YouTube video titled "Exposing the Honey Influencer Scam," creator MegaLag claims that Honey exploits 'last-click attribution' to redirect commissions away from influencers to itself, effectively defrauding them. Influencers like Austin Evans and Hank Green have publicly condemned Honey, with Evans stating he will never work with the service again. Following the video's release, Honey's user base reportedly dropped from 20 million to 17 million, and a proposed class action has been filed against PayPal and Honey for these practices. PayPal, which acquired Honey for $4 billion in 2020, defends its actions, asserting compliance with industry standards. The controversy has prompted discussions about potential legal action, including a class-action lawsuit against the companies involved.