PayPal chief executive officer Peter Thiel resigned. Matt Bannick, eBay's senior vice president of global online payments, will take over Thiel's role.
PayPal enables businesses and consumers to send and receive credit card and bank account payments via the Internet and e-mail. It will replace eBay's Billpoint payment system in the first half of next year.
The online payment company will continue to operate as an independent brand and provide its Web Accept online payment processing service to online merchants. However, PayPal's online gaming business will be phased out.