etsy and eBay have nothing to do with each other. Totally separate entities.
It started out as a place for artists/crafters to sell their handmade wares, as those items got completely lost in the mass that is eBay. Also, for a seller, the fees are cheaper, with a lot less hassle than eBay. But you, as a buyer, get the same protection when buying with PayPal, so it's secure.
For quilters specifically, there is a ton of fabric for sale - most new, in FQ packs and yardage, the majority from well-known fabric companies. There is also a lot of vintage fabrics and supplies for sale, along with some off-the-beaten track fabrics.
Go take a look. You'll get lost for hours over there.
http://www.etsy.com/