Security!

Ironically, I had already ordered my PayPal security key fob when my account got hacked late last week. It arrived in today's mail and I activated it immediately.
The device generates a six-digit key every 30 seconds that you append to your regular PayPal password, adding a new layer of security to your account.
It also works with Ebay and, since it was created in cooperation with VeriSign, it will probably be adopted by many other online vendors.
You can see the demo for it here. PayPal charges a modest $5 for it, reasoning that people will value it more if they charge for it than if they just gave it away.
As far as my hacking experience goes, PayPal notified me that all four transactions had been reversed/voided about 14 hours after I filed a report with them.
Getting the money back into my checking account will take longer. The first $700 rolled into my PayPal account this morning and I immediately transferred it to my checking account, but the actual movement of funds will likely take 3-4 business days.
It was all a hassle, but we're working through it.