Even worse is not understanding payment companies and the unique challenges they face. The JOBs act could very well have the opposite effect after the rather likely early trading days "pop". Effects From The PayPal IPO The PayPal spin off from eBay, creating a PayPal new IPO, has activated a great deal of scrutiny in the payments space. PayPal's IPO has already done quite well in just two weeks, and many astute observers predict a far more aggressive and determined company. PayPal directly competes with Square and has made notable advances in shifting the micro-merchants that is core to Square's business to a similar system at PayPal. It is notable that there is little loyalty with these merchants and they are very price sensitive. The new PayPal narrative has a direct effect of removing oxygen from the Square narrative., even more so if the Square IPO is in the next three months as PayPal exposes new programs that are designed to directly cause high attrition for Square merchants.