PayPal’s Honey browser extension has been praised for years as a convenient way to find coupons online. However, some are calling it a “scam” following a detailed investigation by YouTuber MegaLag. He accused Honey of “stealing money from influencers” and returned a year later with another video, claiming that Honey targeted minors, collected data from individuals who never subscribed to its service, and exploited small businesses.
The first video highlights Honey’s use of last-click attribution, where it replaces other tracking cookies when users interact with it. The follow-up video reveals a series of emails between Honey and small businesses that lost revenue due to its use of private coupon codes. It also discusses how Honey pressured these businesses to partner with them and its strategy of sponsoring popular YouTubers with large young audiences, such as MrBeast.
After the release of the first video in 2024, PayPal responded by stating that it adheres to “industry rules and practices,” including last-click attribution. However, many creators who believe they missed out on revenue due to this are unhappy. Some YouTube channels, like Legal Eagle and GamersNexus, are now pursuing lawsuits.
Below, you’ll find all our coverage of the controversy.
