Honey: everything related to the alleged use of fraudulent PayPal coupons.

The PayPal browser extension Honey has been recognized for years as a useful tool for finding online coupons. However, a controversy has recently emerged, fueled by analysis from YouTuber MegaLag, who has labeled it a “scam,” claiming that Honey “steals money from influencers.” In his video, he examines the use of last-click attribution, a technique in which credit for a sale is given to the owner of the last affiliate cookie before the purchase is completed. MegaLag argues that Honey capitalizes on this dynamic by replacing its tracking cookie with others when users interact with the extension.

The company has defended its actions by stating that it adheres to “industry rules and practices,” including last-click attribution. However, content creators who feel they have lost income due to this situation are not satisfied. The YouTube channel GamersNexus has led a new class-action lawsuit against PayPal, joining other claims that arose after MegaLag's video, which accuses the Honey extension of appropriating affiliate links. The channel Legal Eagle also filed a lawsuit earlier this month.

The 90-minute video recaps the concerns initially raised by MegaLag and includes interviews with attorneys explaining the legal process. The browser extension designed to find attractive deals is accused of harming both customers and content creators. While Honey aims to help users get better prices by searching for coupon codes during the checkout process, MegaLag points out that it often fails to find useful codes and instead offers one under its brand, even when a simple internet search might provide better options. Honey's claim of “finding all active promotional codes on the internet” is called into question, suggesting that ignoring better deals is part of the company's strategy in its agreements with retailers.