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There are a number of things that could go wrong with this. Firstly, in order to do that he'd have to either give you his PayPal credentials (unlikely) or you would have to give him your Steam account credentials in order to login to your account and link it himself. The latter especially can result in your account stolen.
Even if nothing bad happens there, he could later dispute all charges you've made on Steam through his PayPal which would result in restrictions placed on your account.
That too.
He offers me more games but i decided not to accept because its weird that he uses his own money to gift mge games, while he gets nothing in return
They can probably use it to prove its their account later
This is why normal people who have sense now have to jump through hoops to buy/gift /trade and use the market
He didnt link his payment, he bought it on his account and sent it as a steam gift to mine