Abstract: A method and an apparatus for operating a gift card network are disclosed. The system receives registration data from first and second merchants, each having one or more points of sale, and processes the registration data to establish membership of the merchants in a gift card network. The system then receives card issuance data from the first merchant, the card issuance data reflecting at least a unique serial number and a monetary value associated with a network gift card issued by the first merchant. The network gift card is redeemable at the first merchant or at other merchants which have established membership in the gift card network. When a transaction occurs in which the card issued by the first merchant is used at the second merchant, transaction data is received from the second merchant, the transaction data indicating that at least a portion of the monetary value of the network gift card has been redeemed at the second merchant.