[JSadowski]

It looks like this is just a prepaid credit card with dedicated balances for each merchant. While I'm sure Facebook has buy-in from the merchants (as they are using their logo and other brand marks), in theory Facebook could offer gift cards for arbitrary merchants. At POS Facebook just uses the merchant identifier to determine which balance to approve funds and subtract from -- aside from that, it works like a normal prepaid credit card.

[ch]

It doesn't appear that this is the case. This is more like a multi-gift-card (not sure of any technical term for it) than a pre-paid credit card. From all I can see, you can't use it to make purchases at any merchants other than the ones which have balances on the card. This is much like the Verizon Visa Gift Card that was being given out when you would sign up for certain FIOS services. It was a Visa credit card, except it was not able to be used at any Visa accepting merchant, but only Verizon approved merchants. Hardly a normal pre-paid credit card.

[JSadowski]

That's my point... from the merchant standpoint there is no additional integration required... they just process it as a credit card. Facebook limits the spend based on the merchant identifier that gets sent to them from the POS. Basically they've created a multi-gift-card using existing credit card technology without the partners needing to update their POS to support it.