I'm not sure I understood this in right way. Are you asking about the exchanging Bitcoin to fiat money through PayPal? If that is the case it's possible and also a rather popular way but I wouldn't recommend it because this is the way that could be very tricky and risky because of many scam possibilities.
I have seen that. I agree too many potential for scam. What I would like to do is send fiat to PayPal from an exchange. Say I sell my BTC and turn it into fiat. Then send that to PayPal. I know CoinBase offers this, but it's limited with the amount I can send at one time.