They usually have a reason in their eyes, which is always in their terms of service. They for sure make mistakes daily and are a completely shitty company but if you do not follow their rules just like any website they will kick you off. If you are a "kid" with 1k in paypal and get limited then that is your own fault as you cannot be a kid and have a paypal only a student account. PayPal is not a bank account nor is your money ever safe in paypal being a kid or not, you should always transfer your money from paypal and never leave money in that you cannot afford to lose or have held for 3 months.
I think we all need a PayPal alternative because from what I am seeing is that there truly is no alternative to PayPal at this time and that is why they are so superior. Alot of people do not know or understand but PayPal is not FDIC insured meaning your funds are not safe, they also use all money that goes into PayPal and have it put into an account to have the funds grow but do you get the increases or does PayPal? PayPal keeps it all on top of their fees and membership charges, they truly are weasels when it comes to YOUR money.