BitcoinMadeClear

How do money and value fit together?

Bitcoin can be used as money when someone agrees to accept it. Its usefulness, its price and the size of a payment are different questions.

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Which question would help you?

Money and value learning mapUse: What can a payment do?. Value: Why might someone want it?. Units: How small can an amount be?.UseWhat can a payment do?ValueWhy might someone want it?UnitsHow small can an amount be?
Use: What can a payment do?. Value: Why might someone want it?. Units: How small can an amount be?.
  • Why does Bitcoin have value?

    Bitcoin has value when people are willing to accept it or give something in exchange for it. Its transfer features and supply rules can matter to them, but no rule guarantees a price.

  • Is Bitcoin real money?

    Bitcoin can function as money when people agree to accept it for a payment. That does not mean every shop accepts it or that it keeps the same spending value.

  • What is a satoshi?

    A satoshi is a small unit of bitcoin, often called a sat. One bitcoin contains 100,000,000 satoshis, so sats let you describe small amounts without many decimal places.

  • Do I pay tax on bitcoin in Canada?

    Your Bitcoin activity can have Canadian tax implications. The CRA says disposing of crypto-assets can produce business income or losses, or capital gains or losses, depending on the circumstances.

  • Why does Bitcoin's price change?

    Bitcoin's price changes because the amounts buyers and sellers are willing to accept change. Its supply rules do not fix what someone will pay for it.

  • Is there a limit to bitcoin?

    Yes. Bitcoin's current rules cap the total supply at 21 million BTC. Checking computers reject blocks that create more new bitcoin than those rules allow.

Where could you start?

A shop might accept bitcoin while the shop next door does not. That tells you about acceptance, not what its price will do.

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