This all makes perfect sense. My only problem is that this is not communicated with the seller clearly. If it is a stated policy that Paypal will hold the host

This all makes perfect sense. My only problem is that this is not communicated with the seller clearly. If it is a stated policy that Paypal will hold the host of a conference's money until the event materializes to cover their costs then no party involved has a right to feel cheated. Instead Paypal is classifying this risk which is inherent to their business, which is the risk of the conference materializing, as fraud. This, in my opinion, is diseptive