Not at all. PayPal could not be more different than Bitcoin (centralised, insured etc.).

Edit: I'm not defending PayPal, I'm saying Bitcoin and PayPal are two different systems.

Paypal regularly "freezes" peoples funds, and there is little legal recourse in those cases since Paypal cleverly has avoided making itself legally a bank in the US (even though it clearly preforms functions people usually receive from banks).

AFAIK PayPal are a bank in the EU. I don't know if their behaviour is much different, but I suspect it isn't.

> ... being ... insured doesn't mean anything.

Uh... it means there's minimal risk that users will lose their money if PayPal gets compromised. That's pretty significant.

I'm not saying its invincible at all, I'm saying comparing PayPal and Bitcoin isn't appropriate considering they're very different.