Don’t store cash in Venmo and PayPal, US regulator warns
Instead of warning consumers, why not do what regulators do and, well, regulate? Here, you have entities storing unsecured funds and doing god knows what with it. In the interest of the public good, a just government and a conscientious regulatory body wouldn't busy itself warning anyone. Rather, they would be bringing down the hammer on these entities and making them an example of what happens to companies that try to destabilize the financial system.