Why should you buy gift cards with crypto?
Cryptocurrencies have grabbed everyone’s attention, but they still need deeper integration to become a common way to buy things like regular money. It’s a mystery when crypto will let us buy anything from clothes to paying bills. Still, a cool way to use your crypto right now, without dealing with the boring stuff of traditional banks, is by **buying gift cards**. These gift cards, bought with Bitcoin or other crypto, can be spent on all kinds of products and services.
According to a gift card gauge survey by Fiserv, 27% of U.S. consumers plan to spend more on gifts this season compared to the previous year, and 57% of the consumers prefer multivendor gift cards.
It may sound amazing on paper, and it really does live up to the hype, but only when completed in the proper manner. Learning more about the perks of selling crypto for gift cards and the ways you can utilize these vouchers is crucial for making the right decisions when going forward with any trade deals.
We’ve compiled a few of the most significant benefits of using gift cards obtained with crypto assets.
Gift cards enable borderless transfer of value
Whether you work abroad or your family members and friends reside outside of your country, the transfer of money can be unfairly costly for both the sending and the receiving party.
One of the greatest downsides of traditional wire transfers is of course, the amount of money the bank takes away for completing the transaction. The greater the amount of assets, the higher fees. This makes it almost impossible to help out people living abroad financially.
Instead of relying on conventional third parties like banks, one can easily send financial help internationally through gift cards. You can invest as much crypto as you like on gift cards, accepted by businesses you know your friends and family shop from and thus make use of your digital currencies with minimal fees.
There are no tax obligations for buying and sending gift cards
Depending on the policies your local government has regarding crypto, there are different tax obligations. Even when you exchange your BTC or ETH for fiat money, you still have to pay taxes. But whenever you buy gift cards with the mentioned cryptocurrencies, there are no additional rules or taxes.
You simply purchase the desired voucher and send the gift card code via e-mail to the recipient. Both of those actions aren’t supervised or regulated by official authorities.
With that being said, you can freely purchase a gift card in any part of Europe and send it to Brazil without the hassle of currency conversion and unreasonable transaction fees. That way the recipients get a hold of the full value of the assets you sent them.
Purchasing gift cards with crypto is more private
One of the reasons why crypto has received so much attention and support is because it enables a higher level of privacy. Thanks to the nature of the blockchain, the information about crypto transactions and their perpetrators is encrypted.
Also, buying gift cards doesn’t require the provision of personal details such as ID number, which is mandatory for most crypto exchange platforms. All you need is a reliable e-mail address, which is where you’ll receive the gift card code.
Although full anonymity isn’t achieved, no important private data is exposed.
Our opinion
Purchasing gift cards with your crypto is a smart choice for anyone who wishes to take advantage of their assets without a traditional intermediary, which would impose fees and taxes. Our team is an avid supporter of this clever payment method but would still like to shed light on the importance of being well-informed about the proper way to conduct such an exchange of value. In our opinion, it’s best to first try with smaller amounts and, once you get the hang of it, gradually expand your experience.
What we really like about buying gift cards with crypto is that you don`t have to provide any personal information besides an email address, and you get the voucher within seconds.
