4 ms·
A new form of "money" that you can only spend at, or via, Amazon. It's a great idea... for Amazon! -- PS. In response to comments below, this is not at all l
by cs702 14y ago
A new form of "money" that you can only spend at, or via, Amazon. It's a great idea... for Amazon!
--
PS. In response to comments below, this is not at all like gift cards (which Amazon has offered for many years), but truly a digital currency similar to those used in online multi-player games (e.g., Linden Dollars) -- the key difference being that Amazon Coins will be accepted by the world's largest online merchant from day one.
rm999: Gift cards are not fungible (each gift card has its own unique ID that can be used only once) and cannot be subdivided into smaller units (e.g., one can't split a gift card in two and send half of it to someone else), so they cannot be used as a medium of exchange.
- jonknee 14y agoSimilar to the iTunes Gift Cards that have proven popular.
- rm999 14y ago>this is not at all like gift cards On a superficial level they seem almost identical, but I don't understand the idea behind Amazon coins well yet. What makes them so different? I've always considered gift cards a sort of currency, like the coins are. s702: it's virtually impossible to have a discussion if you reply to comments like this, the reply button and comment threading are made just for this purpose. I don't see anything in the FAQ or press releases that indicates amazon coins will be fungible or splittable. Do you have a source that you can gift some of your coins to other users?
- cs702 14y agorm999: sorry for replying to your comment above instead of below it. I was about to reply to it below, but then thought that adding the clarification at the top would be more helpful for everyone else. Thanks for pointing this out. The Amazon press release calls Amazon Coins a "virtual currency," which by definition means they're fungible and subdividable.
- Dylan16807 14y agoThat's a pretty circular argument. You know the term fits because it has the attributes of the term, which you know because they used the term.
- libria 14y agoSince it's a currency conversion instead of a purchase, does this then circumvent sales tax laws when exchanging them for goods? Today it's just apps, but it could feasibly be tangible goods in the future.
- gesman 14y agoAmazon is too tasty piece for IRS. Where smaller merchants could get away with, AMZN is always under microscope.
- Dylan16807 14y agoI think you got something mixed up. Buying coins can be looked at as a currency conversation, sure, but exchanging coins for goods most certainly is not, and will be taxed as per usual.
- Dylan16807 14y agoYou can too spend part of a gift card, give a gift card to someone else, or combine gift cards for a large purchase, unless the company making them has terrible customer service. The only thing you can't do is split them arbitrarily.
- stephengillie 14y agoThe most important way in which Amazon Coins resemble a gift card is when you buy one, Amazon can use/bank/invest that money right away, instead of waiting for you to make a purchase. They definitely make enough off the interest/investment to pay for the whole Coins service.