One early theory of the atonement is called the Ransom Theory. It was propagated particularly in the work of Origen. The idea is that the death of Christ was a ransom sacrifice in satisfaction for the bondage and debt on the souls of humanity as a result of inherited sin. But who was the ransom paid to? Origen and Gregory of Nyssa believed it was owed to Satan!
Yet many in the Word-Faith Movement teach a modern-day variation of the Ransom to Satan Theory, that is far more extreme and perverse than its predecessor. They contend that Jesus died physically on the cross but this was not sufficient for the atonement. Jesus had to die spiritually as well. He did this by taking on a Satanic nature and then descended into hell after his death, where he was tormented by Satan and all his demons. This torture was the ransom that God paid to Satan. Because Jesus “died spiritually” he had to be “born again” in hell, at which point he rose from the grave. According to Hagin, by being “born again”, the believer becomes “as much an incarnation as Jesus of Nazareth”. This is one of the most flawed views on the Atonement.
Although Arminians and some Calvinists (5-point) disagree on the extent of the Atonement, they generally agree that - while the Penal Substitution model may not be the only valid view of Atonement - it is the best. We agree that Jesus was a substitute for man - by repaying our debt owed to God, not Satan. We also agree that sin was atoned for by the shedding of Jesus’ blood on the cross, not by demonic torture in hell.