It looks like PayPal has decided that censorship of erotic ebooks was a bad idea. A couple of days ago, they informed Mark Coker, founder of Smashwords, that they would no longer insist that Smashwords erotic writers abandon writing of the Forbidden Four and their ugly pseudo cousins. Smashwords have rolled back their terms back to its pre-PayPal censorship form.
It is still unclear exactly what PayPal's new position is, for their new terms of use have not been released yet. But at least, one credit card company, VISA, denied responsibility for PayPal's censorship stance. Hopefully, this might mean that erotic writers can get back to making money and writing dubious stories.
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