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They've lost many of their 'yard sale' auction sellers on purpose in favor of turning it to a predominate retail outlet.  Auction is very little of overall revenue. 

And those auctions probably caused a lot of headaches for them. Used items in general would probably cause more disagreements between buyers and sellers than new items. They have definitely moved towards retail, aka amazon. .

Interesting point about banning all payment methods other than paypal.  The buyer protection they offer needed control over the payment stream - if people send cash or money order, then they would need to require some escrow to avoid risk on their part.  But cash is by law "legal tender for all debts, public and private" so definitely problematic to ban it.

Too bad another auction site doesn't come up. Something more like craigslist (low to no fees) but with a clever way to keep transactions fair - two way feedback and payment control - something like bitcoin blockchain. Maybe add volunteer transaction moderators that (as small groups) vote to resolve disputes?
 

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