Why do you assume PayPal was is a cryptocurrency in the first place? Nobody said it was so there's genuinely no point in disproving it. PayPal is probably as centralized as it gets so in that sense it really doesn't have anything to do with cryptocurrency. Satoshi probably was aware of the existence of PayPal but we'll probably never know if they took inspiration from PayPal or not. But I feel like bitcoin is a lot broader than PayPal so I think it's unjust to (partially) credit PayPal with the existence of bitcoin.