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How to Buy Bitcoin With Any Gift Card

  • Eduard Ezhov
    ⭐ Features

    Many people keep useless gift cards in their wallets, here are four safe ways to exchange them for Bitcoin


How to Buy Bitcoin With Any Gift Card
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 iTunes Gift Card

Many people that do not know what to give their friends or family choose gift cards. Actually, this is a good and prudent decision, because gift card owner can buy whatever they want for this money, so the present certainly will be valuable. The problem is that people often want to buy something in another shop, not in the one they have a gift card for. Hence, the gift card becomes useless. In this case, to save money, the card should be sold or exchanged for Bitcoins.

Benefits of exchanging the gift card for cryptocurrency

The benefit of converting gift cards for Bitcoins is that this is a kind of investment. If a gift card is just kept in your wallet, you will not get any profit from this. At the same time, if you exchange it for Bitcoins, you will get a digital currency that tends to increase its course. Hence, after a while, Bitcoins may be quite more valuable than the cardwas. The money will not go down the drain.

Disadvantages

There are many services that allow exchanging gift cards for Bitcoins. It is important to note that any card is a less liquid asset then cryptocurrency. Hence, it is no wonder that after exchanging the amount of cryptocurrency you will get less than the value of the card.

There are four ways to exchange useless gift cards for cryptocurrency safe and profitably.

LocalBitcoins

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LocalBitcoins Interface

LocalBitcoins is one of the most popular markets for buying and selling Bitcoins. It provides an easy way to find a buyer who will consider exchanging on mutually beneficial terms, so it is easy to buy Bitcoins with a gift card. It is kind of stock exchange, but unlike classic exchanges, LocalBitcoins has some features:

1. P2P deals. This means that users exchange the assets with each other, without any intermediaries.

2. Exchanging different assets. This is a key-point because different assets mean currencies of different countries, physical money and gift cards as well.

It is no wonder that the most valuable cards are issued by popular internet-shops and online-services. Best-selling gift cards usually belong to such companies as:

  • Amazon

  • eBay

  • Target

  • Walmart

  • Visa

  • AppStore

  • Starbucks

However, LocalBitcoins does not have any restrictions. You can try to sell any of your gift cards, even if it were issued by an unpopular store.

It is difficult to say how much money you will get for the card. The price usually goes down, on average about 50 percent on this service. However, it is still better than just keeping a useless card in a wallet.

Purse

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Purse Interface

Purse– is a less popular but also quite helpful service, which is specialized on Amazon cards. The main point of Purse is that it provides finding a buyer that will send you Bitcoins in exchange for a needed product from Amazon. In practice it works quite easily:

  1. The user makes a request for a needed product from Amazon
  2. You pay for this product by your gift card and confirm shipping to his address
  3. In return, you get an equal amount of Bitcoins

Purse provides a service to avoid scammers in such deals. It can ensure that buyers will get their stuff and gift card sellers will get the cryptocurrency. Actually, Purse ensures an escrow service in transactions.

There is another way to sell a gift card. You can sell it directly to Purse Company.  It is less beneficial if we are talking about money, but the deal executes instantly, so you get money quite faster.

Cointal

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Cointal Interface

Cointal is a relatively new service for buying and selling cryptocurrency. It is slightly similar to LocalBitcoins. The advantage of Cointal is that it supports exchanging not only Bitcoin but also other cryptocurrencies, including Ethereum and Ripple.

This is also a P2P service that provides users to implement deals with each other. Overall, Cointal is an open marketplace for buying and selling cryptocurrency different ways. Here you can buy Bitcoin not only with a gift card but also with PayPal, Google Wally and many more digital wallets.

Paxful

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Paxful Interface

Paxful is a New-York based online Bitcoin store. It accepts more than 300 payments because the service supports a lot of digital assets. And the most important thing that it is provides to buy Bitcoin with an iTunes gift card.

It is important to note that Paxful is an open service. Hence, there may be many scammers trying to steal money. To ensure a safe exchange you should choose a seller prudently and always pay attention to the user’s reputation.

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Question of the Day: Can Stablecoins Accelerate Cryptocurrency Adoption?

  • Yuri Molchan
    ⭐ Features

    Stablecoins show hardly any volatility compared to Bitcoin and altcoins, many are hoping that they will be able to bridge new crypto economy and regular fiat money


Question of the Day: Can Stablecoins Accelerate Cryptocurrency Adoption?
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Bitcoin, the father cryptocurrency, emerged in hope that it will remove all intermediaries in electronic commerce that cut off their share of payments. BTC was perceived as a P2P way to replace fiat cash in an electronic format, which would enable one party to pay another without any financial institution or payment platform which would demand its share of a transaction as a reward for its services.

What is wrong with Bitcoin

For quite a while Bitcoin was performing the way the crypto community expected. But the situation changed later – BTC rate became weaker, thus bringing down its financial and economic reliability, when it gets to be used as a regular means of payment.


You cannot have a currency that would cost like a British castle today, a gram of gold – tomorrow and a pack of French fries the day after.

At that point practical fintech minds came up with an idea of creating something which would become a breakthrough in the universe of crypto – a so-called stablecoin.

Will stablecoins solve the volatility problem?

Technically, stablecoins are protected from the volatility roller-coaster that Bitcoin and other cryptos love to ride. They are programmed to keep their prices stable and investors now are largely attracted to this new type of digital assets.

Stablecoin does not show any volatility in its monetary value, since it has a fixed connection to an asset it is pegged to. The major goal of using stablecoins is taking the best from decentralized crypto coins and combining it with a constant value. Thanks to it, stablecoins can be used as a reliable means of trade.

Asset-pegged stablecoins

Asset-backed ones get their value from an asset as can be understood from the name. An asset provides the necessary value to a coin, as well as the necessary legitimacy.

A great example of an asset-pegged stablecoin is Tether (USDT). In spite of a series of scandals at the end of last year, it remains the most popular stablecoin in the crypto market.

Recently, it has partnered with the Tron Foundation to launch a Tron-based stablecoin.

Other examples are TrueUSD (TUSD), USD Coin (USDC), the Gemini Dollar (GUSD), and the Paxos Standard (PAX). They are all pegged to the USD.

Crypto-backed stablecoins

Some digital coins work in a similar way to fiat-backed ones, however, they are pegged to collateral crypto. That means that crypto assets that ensure the value of such stablecoins are stored in a wallet similar to escrow.

A good example of a crypto-pegged token is Maker, which is ranked 16 on CMC.

Algorithmic stablecoins

Even though, stablecoin can be interesting at first thought but the way they are built goes against the principle of decentralization that crypto coins have as a foundation. Thus, many crypto fans and evangelists are positive that stablecoins must be linked towards not a centralized asset but a computer algorithm which takes value from a balance between supply and demand.

Basis is now considered the most promising algorithmic stablecoin of all.

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Can stablecoin ensure smooth future for the crypto industry?

The primary goal of all crypto assets was and remains to come up with virtual asset that would be liquid enough and not vulnerable to market volatility. From this point of view, stablecoins are a dream of all crypto fans and evangelists of a decentralized economy.

Apart from the potential to conduct crypto transactions smoothly, experts believe it can bridge the two worlds – fiat and crypto, bringing them a mutually beneficial coexistence. However, that may take time.

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