What I do:
1. Go to
https://blockchain.info/q/newkey , it shows 2 words, such as:
1jDY146mpM6BKYsxGVRz9ckVGYuSEDv2o f5b4522d9a49d7ba38450058f8e390454dd1d6f513a0e299a55e2f46e51f8021
So
$address1 = 1jDY146mpM6BKYsxGVRz9ckVGYuSEDv2o
$privHex = f5b4522d9a49d7ba38450058f8e390454dd1d6f513a0e299a55e2f46e51f8021
2. Send $amount+0.0005 bitcoins to $address1
3. Call
https://blockchain.info/merchant/$privHex/payment?to=$someOtherAddress&amount=$amount , it will give me the error:
{"error":"No free outputs to spend"}
4. Go to
http://brainwallet.org/#converter , paste there $privHex, convert it to $privBase58
5. Go to
http://brainwallet.org/#sign , paste there $privBase58, notice bitcoin address $address2
6. Send $amount+0.0005 bitcoins to $address2
7. Call exactly the same query as in 3:
https://blockchain.info/merchant/$privHex/payment?to=$someOtherAddress&amount=$amount
It works, money sent from $address2!
If I go to
http://brainwallet.org/#generator and put there $privHex as exponent and click "Compressed", I will see $address1 there and Private Key (DER). But I have no idea how to convert that private key to hex format required by blockchain.info to be able to spend test money that has been sent to $address1.
Please help. How can it be explained and how is it supposed to work?