Paypal is a company of eBay which allows payments and money transfers to be made through the Internet. It can be also called as an electronic wallet. Paypal is the most popular e-wallet on the internet. 
Unfortunately there is were and still are many fraud issues with this payment method and this is why only a restricted number of poker rooms offers it as a deposit or withdraw method. Furthermore there is also a country restriction.
Poker rooms that still accept paypal (updated January, 2010)
Paypal transactions not available:
and all countries that are not listed below
Paypal transactions available:
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Pacific Poker – Highly trusted poker room with many loyal poker players. Online since 1997 this poker rooms offers a downloadable and a flash version of their poker room. The first deposit poker bonus is 100% up to $400.
Pacific Poker paypal deposits accepted from: Austria, Denmark, Finland, Italy, Portugal, Spain, Sweden, UK
Bwin poker – Bwin offers poker, casino, sportsbook and it is a very popular site. There are many players coming from the casino and sportsbook section of the site which means a lot of weak players. The initial bonus is up to $500
BWIN Poker paypal deposits accepted from: Finland, Belgium, Germany, Greece, Italy, Portugal, Spain, Sweden, UK
Lucky ace poker – This poker room is one of the fastest growing on the market. It is on the same network with pacific poker. It is worth trying it out.
Lucky Ace Poker paypal deposits accepted from: Austria, Denmark, Finland, Italy, Portugal, Spain, Sweden, UK
William Hill Poker – Recommended to beginners. Nice site with a good poker client.
William Hill Poker paypal deposits accepted from: Australia, Austria, Denmark, Finland, Belgium, Greece, Italy, Portugal, Spain, UK
Check out William Hill poker now
Betfair Poker – One of the first poker rooms to accept paypal deposits. This poker room may be ideal for you.
Betfair Poker paypal deposits accepted from: Austria, Denmark, Finland, Belgium, France, Germany, Greece, Italy, Portugal, Spain, Sweden, UK
Ladbrokes Poker – One of the first poker rooms to accept paypal together with betfair poker. Ideal for beginners.
Ladbrokes Poker paypal deposits accepted from: Australia, Austria, Denmark, Finland, Belgium, France, Greece, Italy, Portugal, Spain, Sweden, UK
Paddy Power Poker – This poker room is the most popular paypal poker site. The ongoing promotions on this poker room are great.
Paddy Power poker paypal deposits accepted from: Australia, Austria, Denmark, Finland, Greece, Italy, Portugal, Spain, Sweden, UK.
Check out Paddy Power Poker now
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– Everest poker