I happily accept Paypal and many others do.

There were some issues with Paypal, way back when, but eBay owns them now.

As a seller there is a transaction fee, so the cost of listing, then the commission on the sale, plus another fee from Paypal, might deter some people.

A chip at $1 over face is a losing transaction. (or maybe pennies short of it?)

The way it works for me, is I sell things and leave the money in the account, so I can buy "stuff" that I really need. After selling a bunch of collectible golf clubs and old postcards, I had enough to afford the Ken's Townhouse chip. Something which I would never buy if I had to take it out of a _real_ bank account. Same for a $5 Jackpot Club, because I can spend money that never reached my grubby little "cheap" fingers. lol

For anything where the margin is over $1 on selling, the seller would get their money faster and secure using Paypal, but also might get some more sales.

I also like it because I can see what people bought, get a confirmed address and it basically tracks my auctions plus providing a shipping label (of sorts). Making my life easier and for better service to buyers.

To answer you question is short. Past problems in the early days of Paypal, caused many to hesitate to sign up. A small transaction fee on each sale. That's about all I have found that might be a detraction. Maybe others have more reasons?