Will this method pay in btc? I hope it do not involve PayPal anywhere.It is possible that op send $500 from some stolen cc and ask escrow to release $700.
Since OP only said we could make $500, so it's not in btc imo. Your opinion is likely to be true because OP also said this is "greyhat" method.
We often use dollar or euro as easier to understand currency converter when talking about potential bitcoin profit.
I see so many newbies offer this service around this forum.
Everyone was a newbie at some point, but I agree that dealing with newly created accounts,
especially when they try to sell you magic formula might be somewhat risky business.
I wouldn't try it even with escrow - as there is a possibility that your funds could be hard to recover.