You will need a Verified PayPal address to sell on Discogs. Per PayPal's description, a Verified account indicates that the "seller has provided additional evidence of their identity to PayPal by passing key security checks and completing the PayPal Verification process."
If our systems aren’t accepting your PayPal address, it’s likely that you don’t have a verified account. To become a Verified PayPal account holder, please visit the PayPal Verification FAQ for more information.
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