Today I'd like to introduce you to Purse.io — an online marketplace that allows users to name their own discounts when shopping any product on Amazon and helps match them with a supplier who will buy that product for them in exchange for Bitcoin. Purse has over 300,000 users and the discounts range from 15-30% depending on the product and shipping timeline. In this short tutorial, I explain how to earn income by arbitraging gift cards using Purse.io and Redeeem.
1. Buy Redeeem Credits
Convert over 20 different cryptocurrencies to Redeeem Credits using Redeeem's native CoinPayments integration. Depending on your currency, this could take a few minutes to a few hours for the network confirmations.
2. Buy Amazon Gift Cards
Buy Amazon gift cards on Redeeem at up to 30% discount or more. Claim them to your personal Amazon account until you have ample Credits. On Redeeem you can verify the receipt of the gift card and review the reputation of the seller before you buy the gift card, so increase the chance of likelihood getting a valid card.
3. Accept any Purse Offer
Accept any product off on Purse.io that you are comfortable buying on your account. The highest risk products for account shutdown by Amazon is buying other gift cards with your credits, so please do this sparingly. The most common products will be electronics like hard drives, computers, monitors, smartwatches and Apple Products. Make sure the product you are buying can be purchased on Prime to make the release time for your bitcoin faster.
Once you accept the offer, enter the Gift Registry Address during the checkout process and paste the confirmation message from Amazon so the client can track the order. You will also need to upload tracking information as soon as you receive it from Amazon — usually within a few hours. For more information about how to accept offers on Purse, they can explain it better.
4. Rinse and Repeat
Once the order has been delivered, the shopper will have up to 48 hours after the delivery to confirm the order. You will get paid in bitcoin for the correct amount right in your Purse.io wallet. You can regularly buy gift cards over 30% discount on Redeeem and offers at 10% discount or lower on Purse, netting you 20% margin on every trade. Essentially, you are selling Bitcoin at a higher premium on Redeeem and buying it back at a lower premium on Purse.
Redeeem: $0.70 per $1.00 (30% off) = $0.70
Purse: $0.90 per $1.00 (10% off) = $0.90
Net: $0.20 per $1 (20%) = $0.20
For desktop users, download the Chrome Extensions for Redeeem and Purse to improve your trading experience in the browser. If you want to learn more about the open source Bitcoin framework powering Redeeem and Purse marketplaces on the blockchain, check out bcoin.io.