PAYPALHOLDINGS,INC.2015EQUITYINCENTIVEAWARDPLAN(MARKED) 2.17 “Equity Restructuring” shall mean a nonreciprocaltransactionbetweenthe Companyanditsstockholders,suchasa stockdividend,stocksplit,spin-off, rights offering or recapitalizationthrough a large, nonrecurringcash dividend,that affects the shares of Stock (or other securities of the Company) or the share price of Stock (or other securities) and causes a changeinthepersharevalueoftheStockunderlyingoutstandingAwards. 2.18 “ExchangeAct”meanstheU.S.SecuritiesExchangeActof1934,asamended. 2.19 “Fair Market Value” means, as of any given date, (a) if Stock is traded on any establishedstock exchange, the closing price of a share of Stock as reported in the Wall Street Journal (or such other source as the Company may deem reliable for suchpurposes)forsuchdate,orifnosaleoccurredonsuchdate,thefirsttradingdateimmediatelypriortosuchdate duringwhichasaleoccurred;or(b)ifStockisnottradedonanexchangebutisquotedonanationalmarketorother quotationsystem,thelastsalespriceonsuchdate,asreportedintheWallStreetJournal(orsuchothersourceasthe Companymaydeemreliableforsuchpurposes),orifnosalesoccurredonsuchdate,thenonthedateimmediatelyprior to such date on whichsalespricesarereported;or(c)if Stockis not publiclytraded,the fair marketvalue of a shareof StockasestablishedbytheCommitteeactingingoodfaith. 2.20“Full Value Award”meansanyAwardotherthananOption,StockAppreciationRightorotherAwardforwhichthe Participantpaystheintrinsicvalue existingat the date of grant (whetherdirectlyor by forgoing a right to receive a payment fromtheCompanyoranySubsidiary). 2.21 “Incentive Stock Option” means an Option that is intendedto meet the requirementsof Section422 of the Code or any successorprovisionthereto. 2.22 “IndependentDirector”meansaDirectoroftheCompanywhoisnotanEmployee. 2.23 “Non-EmployeeDirector”meansaDirectoroftheCompanywhoqualifiesasa“Non-EmployeeDirector”asdefinedin Rule16b-3(b)(3) undertheExchangeAct,oranysuccessorrule. 2.24 “Non-QualifiedStockOption”meansanOptionthatisnotintendedtobeanIncentiveStockOption. 2.25 “Option” meansarightgrantedtoaParticipantpursuanttoArticle5ofthePlantopurchaseaspecifiednumberof sharesofStockataspecifiedpriceduringspecifiedtimeperiods.AnOptionmaybeeitheranIncentiveStockOptionora Non-QualifiedStockOption. 2.26 “Participant” means any Eligible Individual who, as a member of the Board, Consultant or Employee, has been granted anAwardpursuanttothePlan. 2.27 “PerformanceBonusAward”hasthemeaningsetforthinSection8.7. 2.28 “PerformanceCriteria”meansthecriteriathattheCommitteeselectsforpurposesofestablishingthePerformance GoalorPerformanceGoalsforaParticipantforaPerformancePeriod,determinedasfollows: (a) The PerformanceCriteriathat will be used to establishPerformanceGoals may include,withoutlimitation,any of the following: trading volume; users; customers; total payment volume; revenue; operatingincome; EBITDA and/or net earnings(eitherbeforeorafterinterest,taxes,depreciationandamortization);netincome(eitherbeforeoraftertaxes); earningspershare;earningsasdeterminedotherthanpursuanttoUnitedStatesgenerallyacceptedaccounting principles(“GAAP”); multiples of price to earnings; multiples of price/earningsto growth; return on net assets; return on grossassets;returnonequity;returnoninvestedcapital;Stockprice;cashflow(including,butnotlimitedto,operating cashflowandfreecashflow);netoroperatingmargins;economicprofit;Stockpriceappreciation;totalstockholder returns; employeeproductivity;marketshare;volume;customersatisfactionmetrics;netsales;expenselevels;sales or licenses of the Companysassets,includingits intellectualproperty,whetherin a particularjurisdictionor territoryor globally, or through partnering transactions;implementation,completionor attainmentof objectiveswith respectto research,development,commercialization,productsorprojects,productionvolumelevels,acquisitionsand divestitures and recruiting and maintaining personnel; financing and other capital raising transactions(including sales of the Companysequityordebtsecurities,factoringtransactions);productrevenuegrowth;grossprofit;financial ratios, including those measuring liquidity, activity, profitability or leverage; cost of capital or assets under management;strategicpartnershipsortransactions(includingin-licensingandout-licensingof intellectualproperty, establishingrelationshipswith commercialentitieswith respectto the marketing,distributionand sale of the Companysproducts(includingwithgrouppurchasingorganizations,distributorsandothervendors)); co-development,co-marketing,profitsharing,jointventureorothersimilararrangements;economicvalue-added modelsorequivalentmetrics;regulatoryachievements(includingsubmittingorfilingapplicationsorotherdocuments with regulatory authorities or receiving approval of any such applicationsor other documents,passing pre-approval inspections(whetheroftheCompanyorthirdparties));grossorcashmargins;debtreduction;reductionsincosts; year-endcash;workingcapitallevels,includingcash,inventoryandaccountsreceivable;researchanddevelopment achievements;operatingefficienciesandemployeeengagement/satisfactionmetrics,anyofwhichmaybemeasured 122 •2023ProxyStatement