PayPal doesn't directly accept Bitcoin, but Braintree, a division of PayPal has partnered with Coinbase to accept Bitcoin.

Currently, Bitcoin network processes around 7 transactions per second, while PayPal with an average of 200 tps. In terms of scalability and daily transactions volume, Bitcoin is much far behind PayPal. But apart from being a good store of value, Bitcoin could also be a better decentralized version of PayPal by building second layer payment systems on top of Bitcoin, Lightning Network.

So in future, Bitcoin might be better than PayPal, but again it depends on how users will treat Bitcoin, as a store of value or medium of exchange and the extent of merchant adoption.