SpendBitcoins was one of the first bitcoin websites in the world. It was launched in May 2011 as one of the first ways to spend bitcoins at major companies such as Amazon and NewEgg by exchanging bitcoins for gift cards. Over the following four years, Spend Bitcoins has grown into the world's largest directory of bitcoin accepting merchants.
Monetization methods used and their effectiveness:
- Our primary method of monetization has been selling bitcoins at a premium via cash deposits to our Australian bank accounts. The net profit from this method of monetization was approximately $35,000 per month.
- Other methods of monetization have been premium listings in our directory, google ads, and affiliate links. As our income from the sale of bitcoins was quite large, we never put much effort into these other methods of monetization. Conceivably, the right sales team could earn top dollar using these methods, particularly the sale of premium listings to bitcoin accepting merchants.
Technology used We have multiple sophisticated technologies running in tandem, some of which are currently not in use but can easily be turned back on and put to good use.
Our primary technology is an end-to-end bitcoin sales funnel that allows for the user to place an order with the current price and for our scripts to automatically monitor bank accounts and listen for matching transactions, and automatically fund them.
Secondly, we have a fully functioning directory with a strong method for account filtering and verification as well as a backend that allows the merchants to edit their own listings and pay for premium placement / manage their CPC bids. We have a custom wallet that is built on a seperate server that handles all of the transaction data for the premium listings. Merchants can list both their businesses as well as their products, and all of the products and categories are highly search engine optimized.
The website is based on a hybrid of a custom framework for secure data along with a heavily customized wordpress frontend. We have several servers set up for security reasons to isolate our bitcoin wallet as well as the customer transaction data.
Spend Bitcoins was started by Jeremy West in 2011 when he realized how difficult bitcoins were to buy in Australia. He gathered his dedicated companions to build Spend Bitcoins into the strong, stable and reliable service that it is now.
The SpendBitcoins team claims to be completely dedicated to Bitcoin. They are "committed to bringing bitcoin to your daily life as well, by making bitcoin as easy and comfortable as slipping into a pair of old jeans" as said on their own website.
The project's goal is to allow anyone, anywhere, anytime to be able to buy and use bitcoins as easily as using cash, or even easier because of digital nature of Bitcoin, which cash does not possess.
In addition to gathering and systemizing info about services that accept Bitcoin, the SpendBitcoins also provides a one-click option of buying the coins and a "superb-quality" customer service.
- SpendBitcoins.com Official website
- Spendbitcoins.com - Facebook
- BitcoinTalk - SCAM ALERT: spendbitcoins.com / Jeremy West - Bitcoin Forum