Abstract: Provided are techniques for generating and processing a gift card transaction. A hyperlink specific to the purchase of a gift card from a merchant is made available to a user. The hyperlink is selectable to initiate a purchase of a gift card that can be applied towards the purchase of goods and/or services offered by the merchant. When the user selects the hyperlink, the user is redirected to a website associated with a payment provider to complete the transaction for the purchase of the gift card. Funds for the purchase of the gift card are deposited by the payment provider into a temporary account associated with the merchant. When a valid use of the gift card is made with the merchant, at least a portion of the funds deposited in the holding account are distributed to the merchant.