I can’t seem to find an answer for this online. I’ve sold a couple of bits via paypal and they always hold the money until the item has arrived, does the money start becoming available instantly after a certain amount of sales?
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Unfortunately, Paypal can do this forever or layoff for a while and reinstate the wait period later (often around holidays). It's often a combination of what you are selling (or the category you are in), the amount you are selling your items for and the length of time you've had a Paypal account.
PayPal tells you when the money is available.
Should contact Paypal support
https://www.paypal.com/au/smarthelp/contact-us