That's totally screwed up.
re: newegg
they should setup the reverse transaction capability on bitpay or coinbase.
However, some people might arbitrage it, hence the possibility of abuse.
coinbase would also want its 1% for bitcoin buy (could be much less for a large merchant), so it it is somewhat tricky.
Its totally fine to have that policy. Just dont lie about it...
The only way any retailer will be able to afford a 30 day return policy on BTC transactions is if Coinbase adopts a new Merchant Service in which all BTC Contract Transactions are suspended at the time of purchase for 31 days and the FIAT/BTC Value is Guaranteed/Locked In, until the transaction is 32 days past initiation without dispute. Who is going to sell merchandise and wait 32 days for payment?
I don't think there should be any problem as long as amount of bitcoin returned depends on the market price.
example-item costs $50 (BTC at $500), you pay $50-5=$45 or 0.09BTC which you instantly buy just before the purchase ($5 is discount for using BTC)
To reverse, newegg has to buy BTC, which is now at $1000, so they buy $45 worth (plus whatever coinbase fee)=0.045 BTC and send it to your coinbase/bitpay wallet.
Should not make any difference to you or newegg.
Of course, if you paid 0.09 BTC and you expect the same number of btc, regardless of the fact that price doubled, it could not work AT ALL as far as rebates are concerned.
