Hi. PayPal absolutely needs a preferred name section for trans people. Both for how the app addresses you and for how your name is shown to people you do transactions with. This is unacceptable that this is not an option. You can use the legal name for verification but at minimum I do not want to be addressed by my deadname. I saw someone posted a similar ask before and the response was YOU MUST USE YOUR LEGAL NAME LIKE ANY OTHER BANK. and actually, most banks still have a preferred name option and that is absolutely not a sufficient answer.
