It is common to hear some frequent questions about Bitcoin and cryptocurrencies. After all, ignorance of technology creates uncertainty. For this reason, myths persist so long, even when there is no foundation.
In view of this, we have prepared a list of myths and truths of the main questions we received. If you want to clear your doubts about regulation, risks, safety and profitability, your time has come!
Is Bitcoin legal in Brazil?
Truth. In Brazil and most of the world, Bitcoin is legal. In Brazil, cryptocurrencies are perfectly legal, even recognized by the Federal Revenue, in taxation and declaration, and by the Brazilian Justice from the perspective of assets and rights .
Although Bitcoin does not have a specific regulation, you are required to declare and pay capital gains taxes on any asset of value, including Bitcoins. This other article provides more information on the regulation of cryptocurrencies in Brazil .
Can governments destroy Bitcoin?
Myth . Bitcoin is a decentralized currency, independent of central banks or financial institutions. No country or organization has the power to shut down the network that underpins Bitcoin.
In this way, nobody can manipulate the data, since it is spread on users' computers around the world. This is possible through blockchain technology. In this sense, the most that governments can do is to hinder the purchase and sale of cryptocurrencies using fiduciary values, the Reais and Dollars.
Can bitcoin be hacked?
Myth. First, the SHA-256 encryption technology used by Bitcoin is the same as that of the US government agencies and major banks. Over the 11 years of existence of the network, there is no record of failure in this regard.
In fact, security holes have been found and corrected over the course of its various software updates. However, it is common to find stories about theft and security breaches from exchanges and users. Although these events did occur, none of them involve an attack (hack) on the Bitcoin network.
The set of good practices and security solutions also depends on users. So, here we separate the most important digital security tips.
Is blockchain a secure technology?
Truth . The validation of transactions on the network guarantees the impossibility of sending the same currency to two recipients. If any miner tries to act for their own benefit, the other users will automatically reject the new block. Certainly, only the correct private key for each address can authorize transactions.
The greater the number of mining confirmations, the more secure the transaction becomes . Therefore, depending on the value in question, you should wait up to two hours. However, for most cases, two confirmations are sufficient, that is, twenty minutes.
Is it easy to earn income in cryptocurrencies?
Myth . Beware of false promises. There are pyramid schemes promising exorbitant and risk-free gains, which is not possible. Like company stocks, gold, and other currencies, Bitcoin is considered a variable-income asset .
There are several ways to make money from Bitcoin , such as mining, speculation or trade using robots. All of these methods are competitive, so there is no guarantee of profit.
Is blockchain only for cryptocurrencies?
Myth . Blockchain technology can be applied in several sectors. For example, a soybean shipment sent from the U.S. to China, had all of its steps recorded and validated on the Blockchain.
In addition to cryptocurrencies, blockchain technology is already being applied in document and transaction registration, digital contracts, and more. Another practical example is the tokens of real assets, which include the precatory and consortium bonds , offered for trading on our platform.
Is it easy to have cryptocurrencies?
Truth . You can buy fractions of Bitcoin and other cryptocurrencies for as low as $ 50 on the Bitcoin Market. Just register on our platform, transfer Reais from your bank account, and start trading digital assets.
The Bitcoin Market platform is easy to use, and has native apps for Android and iOS . Our users are free to keep their cryptography on our platform, or send it to a wallet of their choice.
Is investing in cryptocurrencies risk-free?
Myth . Like the stock market, the price can vary widely . Bitcoin and other cryptocurrencies are expected to make up the slice of its investment portfolio geared to risky assets.
The best way to earn money with Bitcoin is gradually, buying every month when there is surplus cash. To those who wish to earn money in the trade, we recommend study, caution and dedication.
Are Bitcoin transactions irreversible?
Truth . Bitcoin transactions are irreversible. Therefore, great care is needed when carrying out any type of operation. Check that the shipping address is correct and that all numbers and letters match, including upper and lower case.
Until the transaction has two or more confirmations, the amount must not be confirmed. However, after this period the transaction cannot be reversed. The same cannot be said about bank transfers or payments using credit cards. These can be refunded weeks or months after the transaction.
Is it possible to buy dollars using cryptocurrency?
Truth . More modern and less bureaucratic ways of buying dollars have emerged, among which stablecoin stands out . It is a cryptocurrency whose price is always very close to 1 dollar. In this way, the holder gains from the transparency brought by the blockchain.
The stablecoins are an excellent option for investors seeking exposure to the dollar, but without the volatility of criptomoedas. USD Coin (USDC) is 100% backed by dollars , available for trading on our platform, 24 hours a day, 7 days a week.
Bitcoin enables money laundering?
Myth . There is an impression that transactions with Bitcoins are anonymous, which is partially true. Transactions are made using addresses on the network, which leave traces forever.
That way, there are methods to find out who is behind each address, by tracking through the user's internet address (IP). In addition, cryptocurrency brokers are required to maintain customer identification. This process helps to prevent money laundering, in addition to misuse of resources.
Can we buy products and services with Bitcoin?
Truth . It is not common to see stores that accept payment in Bitcoin. However, it is possible to shop at Americanas.com, NetShoes and MercadoLivre using cryptocurrencies. This occurs through gift cards , gift cards sold in cryptocurrencies.
In a similar way, some services intermediate payment of slips, bank transfers and cell phone recharge. Meanwhile, others offer a prepaid card that can be loaded in cryptocurrencies.
Is mining something very profitable?
Myth . Mining consumes a large amount of electricity. It is therefore only profitable in regions with low electricity costs .
We alert readers to the vast number of sites and companies that claim to be mining in the cloud. In some cases, companies sublet a third-party operation, then disappear. Be very careful if you want to venture into this area!
Are there reliable exchanges in Brazil?
Truth . The Bitcoin Market was considered the only reliable exchange in Latin America among the 50 largest. The Blockchain Transparency Institute ranking assesses the liquidity, transparency and security of exchanges.
One of the central pillars of the Bitcoin Market is our security concern . Our customers rely on tools such as 2-Step Verification (2FA), secure word and PIN to access their accounts and perform operations.
