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Paypal was first founded in 1998 as Confinity by Peter Thiel, Max Levchin, Luke Nosek and Ken Howery as a company that developed security software for mobile devices. In 1999 PayPal was developed and launched as a money transfer service, the service was funded by John Malloy.

In March 2000, Confinity and X.com, a mobile banking company founded by Elon Musk merged together. The company was then re-named to PayPal in 2001.

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