As of August 5, 2025, Etsy will begin closing shops for sellers located in countries where Etsy Payments is not supported. This change will primarily affect creators in Africa, where only three countries—South Africa, Egypt, and Morocco, currently have access to Etsy Payments.

This decision marks a pivotal shift in Etsy’s global strategy, raising concerns about the platform’s commitment to inclusive commerce and equitable access for emerging markets.

2021: Etsy Payments Becomes Mandatory

In April 2021, Etsy made Etsy Payments mandatory for all new shops. For countries where Etsy Payments wasn’t available, this meant that new sellers were unable to open shops, effectively locking out many African-based creators.

“If you don’t see your country in the dropdown menu during the shop opening process, then selling on Etsy isn’t available in your country at this time.”
— Etsy Help Center: Why Can’t I Open a Shop in My Country?

Only a few African countries were included: South Africa, Egypt, and Morocco.

2025: Etsy Ends Support for PayPal

In a follow-up move, Etsy announced that as of August 5, 2025, it will no longer support standalone PayPal. All shops must now use Etsy Payments.

This affects legacy sellers in excluded countries who had been using PayPal as a workaround to receive payments. Without Etsy Payments, these sellers will lose access to the marketplace, even if they have active shops, strong reviews, and consistent sales.

How to Get Paid on Etsy – Etsy Help Center
Countries Eligible for Etsy Payments

Inconsistencies in Etsy’s Use of Payoneer

Etsy has stated that it partners with Payoneer in specific countries to extend the availability of Etsy Payments. According to Etsy’s official Payoneer policy, this includes:

Argentina, Brazil, Chile, China, Egypt, Georgia, India, Japan, Kazakhstan, Pakistan, Peru, Serbia, South Korea, Thailand, Ukraine, United Arab Emirates

Yet Payoneer officially supports over 150 countries, including the majority of Africa, such as Kenya, Nigeria, Ghana, Uganda, Rwanda, Zambia, and Zimbabwe (Payoneer Country List).

So why does Etsy offer Etsy Payments via Payoneer in select countries, but not in African countries where Payoneer is available and operational?

This inconsistency suggests that Etsy’s exclusion of African creators is not based on technical limitations, but policy choices. Etsy has the infrastructure and the partner to make inclusion possible, but has chosen not to activate it in key African markets.

What makes this more concerning is that Etsy itself states:

“Partnering with Payoneer means Etsy can welcome many more sellers who had previously been unable to open a shop…”
— Etsy Help Center: How Do I Use a Payoneer Account With Etsy Payments?

Despite this, the benefits of that partnership have not been extended to African countries, even when Payoneer is fully supported there.

The Business Impact

African-based sellers stand to lose not only access to Etsy’s global audience, but also:

With no Etsy Payments support and PayPal no longer accepted, there is currently no payment method available to keep shops in these regions active.

What Will Affected Sellers Do Next?

For sellers based in regions now excluded from Etsy, the immediate question becomes: where do we go from here?

While Etsy’s decision effectively cuts off a major revenue stream and customer base, it does not end the entrepreneurial journeys of these creators. However, the alternatives, while available, come with their own trade-offs.

Alternative Marketplaces

Many affected sellers are turning to more flexible platforms that support global payments, including:

Standalone Shops (More Control, Higher Costs)

For creators seeking full independence and brand control, standalone shops are an option—but require more resources:

A Call for Fairer Platform Policy

Etsy’s mission is to “keep commerce human.” But the current payment policy—which excludes entire regions where secure, proven financial infrastructure like Payoneer is available, appears increasingly misaligned with that vision.

That said, it’s also important to acknowledge that global payments are complex, and there may be regulatory or compliance-related reasons Etsy has not disclosed. Financial operations across borders often depend on government policy, tax structures, legal frameworks, and local banking regulations.

It’s possible that some African governments have not provided the regulatory clarity Etsy requires to operate Etsy Payments or to fully roll out its Payoneer integration.

However, transparency matters.

If Etsy is facing such hurdles, it should communicate them clearly to sellers, and even better, work with local stakeholders to address them.

In the absence of such transparency, the current approach feels one-sided: limiting seller access without offering context or a path forward.

If Etsy truly wants to be a global marketplace, it must:

Otherwise, Etsy risks becoming a platform that celebrates “global creators” in name, but not in practice.