PayPal has officially kicked off "Build What’s Next with PayPal and AI," a global online hackathon offering a total prize pool of $69,750. The challenge requires participants to meaningfully integrate the PayPal Developer Platform with any AI tool, model, or platform of their choice. Unlike many corporate hackathons that restrict tracks, PayPal is encouraging builders to create anything from new agents and payment experiences to business tools and social products.

The Rules of Engagement

The core requirement is non-negotiable: projects must use both PayPal and AI. Builders can join individually or in teams, and they are permitted to advance existing projects as long as meaningful progress is made during the hackathon period. PayPal provides access to select AI sponsor tools, but using them is optional; the only mandate is that PayPal integration remains central to the project’s functionality. Sponsors like AG Grid, APIMatic, Render, and Postman offer specific sub-awards, including cash prizes and credits.

Submission Standards for Builders

PayPal is demanding a working prototype, not just a pitch deck. Submissions must include a public GitHub repository with a visible license and clear setup instructions. Crucially, judges require a functional demo, either via a hosted URL or a buildable repo. A design mockup or static prototype is explicitly rejected. Demo videos must be under three minutes, publicly visible on YouTube, and show the project functioning on its target device without copyrighted music issues.

Judging Criteria and Support

Evaluation will focus on Technological Implementation, Design, Potential Impact, Innovation, and Presentation. To support builders, PayPal has scheduled webinars throughout early October, including sessions on starting with PayPal and using APIMatic Context Plugins. The judging panel includes PayPal Developer Advocates like Jo Franchetti and Eddie Jaoude, alongside representatives from sponsors such as Render and Elastic. This structure suggests a serious evaluation of technical depth rather than just marketing fluff.

Key Takeaways

  • Total prizes exceed $69,750, with specific awards for Best Use of Agentic Commerce and sponsor tools like AG Grid and Render.
  • Functional demos are mandatory; static mockups will result in disqualification.
  • Projects must use the PayPal sandbox environment and integrate at least one PayPal API or SDK.
  • Webinars are available in early October to help developers get started with the platform.

The Bottom Line

This is a rare chance to get PayPal’s engineering attention for free, but the strict 'no mockup' rule filters out the tourists. If you have a working agent, ship it.