I’ve had a horrible experience with Paypal in the past and I harbor an unnatural hatred for the company. Granted with the size of the customer base most people will be fine, but once Paypal soft lock the account Flipper Zero should have immediately removed the ability to pay via PayPal to limit the damage.
Always limit your exposure and never keeping any amount of money with Paypal that you’re not prepared to lose in the worst case scenario, because Paypal is accountable to no one.