UPDATE.
Okay folks so I received my iPhone back today after the weeks of waiting and made an unboxing video.
Were they lying?!?! Let's find out shall we!
http://www.youtube.com/watch?v=XOrxqOLbPVY&feature=plcp
they probably didnt want to pay you 200 haha
As a seller you have zero fraud protection on eBay.
I was scammed a few years back by a guy who bought a $850 laptop from me, claimed it was not working, filed a dispute with PayPal and shipped it back with changed parts (battery he stole alone was worth $100).
PayPal deducted the full price from my bank account and put a hold on the $850 the buyer paid me. I was out $1700 that month. At least he sent something back so after one month I got my $850 back and was able to sell the remaining parts at a loss.
I had no recourse and PayPal wanted me to file a report with the police.
eBay and PayPal support fraud and their feedback system is in existent if you're the seller.
I sold my 64GB 4S on eBay a couple weeks before the iPhone 5 announcement. I decided to accept international buyers to increase the buying pool. The winning bidder was from Russia and had only 1 feedback but it was positive and was for a MacBook he had just purchased.
I had some trepidation about shipping the phone to Russia even though I had already received full payment. Regardless of my worries, I shipped the phone out to the buyer a couple days after I received payment and after about a month and one week I received positive feedback from him. All appears to be well.
I have since read lots of horror stories from people selling smartphone on eBay and shipping them specifically to Russia. Their postal system has a lot of corruption and they will often steal packages. I consider myself lucky this time around and will only sell my electronics inside the U.S. or countries with good postal systems.