PARTI Item1. Business around the world. A market is a geographic area or political jurisdiction, such as a country, territory, or protectorate, in whichweoffersomeorallofourproductsandservices.Acountry,territory,orprotectorateis identifiedby a distinctset of laws and regulations.In 2022, we processed$1.36 trillion of TPV. • Trusted brands—we have built and strengthened well-recognized and trusted brands, including PayPal, Braintree, Venmo, Xoom, Hyperwallet, PayPal Zettle, PayPal Honey, and Paidy. Our communications and marketing efforts across multiple geographies and demographic groups play an important role in building brand visibility, usage, and overall preferenceamongcustomers. • Risk and compliance management—our enterprise risk and compliance management program is designed to help secure customer information and to help ensure we process legitimate transactions around the world, while identifying andminimizingillegal,high-risk,or fraudulenttransactions. • Regulatory licenses—we believe that our regulatory licenses, which enable us to operate in markets around the world, are a distinct advantageand help supportbusinessgrowth. ANNU AL MerchantandConsumerPaymentSolutions REPOR T During 2022, we reorganized our product organization to better align with merchants and consumers to help simplify decisionmakingandenableourteamstoinnovateandlaunchnewproductsandfeaturesmorequicklyandefficiently. MerchantValueProposition We partner with our merchants to help grow and expand their businesses by providing global reach and powering all aspects of digital checkout. We offer alternative payment methods (including access to credit solutions), provide fraud prevention and risk management solutions, reduce merchant losses through proprietary protection programs, and offer tools and insights for utilizing data analytics to attract and engage customers and improve sales conversion. We employ a technology and platform agnostic approach intended to enable merchants of all sizes to quickly and easily provide digital checkout online, including through PayPal-branded checkout and unbranded card processing (primarily consisting of Braintree), as well as in-store at the point of sale, across all platforms and devices, and to securely and simply receive paymentsfromtheircustomers. PayPals payments platform enables merchants to accept all types of online and offline payments, including those made with the PayPal and Venmo digital wallets, our consumer credit products, credit cards and debit cards, and competing digital wallets, as well as other popular local payment methods. Our diversified suite of products and services is tailored to meet the needs of merchants regardless of their size or business complexity. We have expanded our merchant value proposition to enable payment acceptance at the point of sale through our PayPal and Venmo digital wallets and our •2022AnnualReport 5