It’s safe to say that Bitcoin (BTC) trading has evolved immensely over the past few years. From something that started on traditional exchanges—linking your bank to your exchange account so that you can buy BTC directly from the platform—to the payment variety we now see in peer-to-peer (P2P) marketplaces, there are just so many ways to get started.
Because of their accessibility and ease of use, gift cards have become a very popular option for those just getting started. To someone new to Bitcoin and trading, it might sound a little confusing: how is it possible to efficiently convert your gift card into Bitcoin?
Peer-to-peer (P2P) marketplaces
The arrival of peer-to-peer marketplaces to the Bitcoin space has completely changed the way people view trading. With the sheer amount of payment methods available on these platforms, people could basically trade whatever they wanted for Bitcoin.
What are P2P marketplaces? Essentially, they’re platforms that connect buyers and sellers. This means that people who wanted to sell their Bitcoin on a P2P marketplace could basically trade their BTC for money in whatever form—bank transfers, e-wallets, cash, and, yes, gift cards. The peer-to-peer aspect of these marketplaces is what allows them to have such a wide variety of payment options—some of which have hundreds.
Additionally, since the buyers and sellers execute the trade themselves, buying and selling Bitcoin on these types of platforms are generally much cheaper and more efficient compared to traditional exchanges.
Trading your extra gift cards for Bitcoin
Before we get into the nitty-gritty of exchanging your gift cards, you’ll first need to find a secure Bitcoin exchange. Take a look at some of the most popular options, observe how trading is done on each platform, and choose one that best suits your needs.
For the purposes of teaching you how to trade your gift cards, we’ll be using Paxful—the world’s leading peer-to-peer Bitcoin marketplace—as an example. On this platform, it only takes a few steps to trade your gift cards for Bitcoin.
- Create or login to your account
The first step is to login to your account. If you don’t have one yet, it only takes a few minutes to register and you even get a free Bitcoin wallet after. Remember to complete all the necessary verification processes to unlock more benefits! - Look for an offer
On the home page, select Bitcoin as the crypto you want to buy, choose which payment method you want to use—in this case, you can use one out of the many available gift card brands, and then input the value of the card. When you’re ready, click Find Offers.
A list of all available offers should then appear. From there, you can play around with the filters to narrow your search. This includes popular options in your area, offer tags, and user type. If you’re looking for fees, don’t worry—there are zero fees whenever you buy Bitcoin on Paxful.
When you find one you like, click on the Buy button to get a full overview of the offer. On the individual offer page, you can see the terms and conditions of the trade set by the seller. As soon as you give it a proper read-through, input how much your gift card is worth, and then click on Buy now to start the trade. - Trade
Once the trade starts, your seller should send you a detailed set of payment instructions—for gift cards, this will usually include a clear picture of the gift card along with its code and the receipt that was used to buy it. Make sure to follow these carefully to ensure there are no hiccups during the trade.
As soon as you’ve sent your payment in, mark your trade as Paid and give your seller a few moments to verify it. Once verified, they should release the Bitcoin from escrow straight into your Paxful Wallet.
At that point, the trade is complete and all that’s left to do is to leave feedback for your trade partner and start planning your next trade.
*Note: Depending on the P2P marketplace you’re using to exchange your gift cards, the process may vary.
New opportunities await
On Paxful, trading in your gift cards for Bitcoin is quick and easy. The platform even has a feature called the Gift Card Hub that allows users to buy and sell gift cards automatically—so be sure to check that out if you’re planning more trades.
If you’ve got spare gift cards lying around, why not convert it into BTC? By doing so, you can not only earn from the trades but also use the Bitcoin for real-world uses such as remittances, wealth preservation, more efficient transactions, and more.
Ready to take the leap and find awesome new opportunities?
