The short answer
PayPal currently says eligible physical-goods payments may release approximately 24 hours after an approved shipping carrier confirms delivery. Eligible service or intangible-item payments may release 7 days after the seller marks the order Completed.
If you shipped a physical product
Open the transaction and use the option to add genuine tracking or print a supported shipping label. PayPal’s current guidance says the relevant trigger is carrier-confirmed delivery to the buyer’s address.
Open Activity
Find the held purchase and open its transaction details.
Choose Product
Add the real tracking number or use a supported shipping-label route.
Delivery confirms
Eligible holds may release roughly 24 hours after confirmed delivery.
If you sold a service or digital item
Do not invent shipment details. PayPal’s current help page says to select the service / virtual-product route for intangible items and update the real order status. Eligible payments may release 7 days after you confirm the order as Completed.
Can the buyer confirm receipt to unlock it?
Older forum posts frequently mention a buyer-confirmation button, and recent Reddit discussions still ask about it. But it is not a reliable universal release method to promise. The current official release page emphasizes approved tracking for physical goods and seller-updated Completed status for eligible services / intangible items.
What the early-release timeline looks like
Held payment → earliest published path
What not to do
Do not add fake tracking, claim a service was a physical shipment, create false delivery information, or rely on a stranger’s “guaranteed workaround.” Those steps can make the account situation worse. Use only truthful order information and the options PayPal provides on the transaction.