essentially you are saying paypal should do what bitpay and coinbase are doing.
Honestly I would love to see that happen BUT the problem is paypal is owned by ebay and that means all the bureaucracy that exists in big companies exist there. Had that not been the case paypal would have launched a square competitor YEARS ago!
I'd rather have the square guys start accepting bitcoin. I expect innovation from them a lot more than paypal and they are as big!