No paper in chipboard that I can see. Just chips of wood and glue.
"Composition
Chipboard is made up of wood chips bound together with resin and pressed into a flat, rectangular shape. Pieces of wood that are too small, warped, or otherwise defective for use as lumber are splintered into small chips, and mixed with sawdust. A synthetic resin is added, usually urea formaldehyde, to hold the chips together and increase the strength and hardness of the finished product. The mixture is then heat-formed under pressure to create a smooth, rigid board."
It is harder to finish because it does not have as smooth a surface as MDF. My preference would be to buy MDF even if the chipboard is free. This will give a much nicer surface to work on.