Learning the friendly way

As Bitcoin has grown from a niche investment to a widely accepted payment method, it is now accepted by millions of merchants around the world. This guide will cover everything you need to know about using Bitcoin for payments, from simple transactions to more advanced tips. And no, you don’t need to be a tech whizz to figure this out. 

Getting started with Bitcoin payments

Before using Bitcoin, we’d recommend that you first understand how the decentralised payment system works. A great place to start is our guide on What Bitcoin Is. 

Once you’ve got a grip on the basics and you’re ready to dive into payments, the first step will be setting up a Bitcoin wallet, which will serve as your digital tool for sending and receiving cryptocurrency.

How to set up your Bitcoin wallet

Your Bitcoin wallet is your personal gateway to the Bitcoin network. With a range of options available, here are some popular wallet options:

• Hardware wallets (like Ledger or Trezor) for maximum security
• Mobile wallets (such as Tap) for convenience
• Desktop wallets for detailed control
• Web wallets for easy access

It’s a good idea to choose a type of wallet that balances your security needs with your accessibility requirements - each person will have their own preference. 

Different methods of paying with Bitcoin

Directly to the merchant 

Many businesses now accept Bitcoin directly through their online or PoS payment systems. The process typically involves:

1. Selecting Bitcoin as your payment method
2. Scanning a QR code with your wallet
3. Confirming the transaction amount
4. Waiting for network confirmation

Through payment processors

Payment processors like Tap help bridge the gap between Bitcoin and traditional payment systems. These services often provide:

• Instant conversion to fiat currency for merchants
• Lower transaction fees compared to credit cards
• Integration with existing point-of-sale systems
• Customer protection features

(If you’re a business looking to leverage crypto in your operations, see our range of business services here). 

Peer-to-peer transactions

For direct person-to-person payments, Bitcoin offers several advantages:

• No intermediary required
• Lower fees than traditional wire transfers
• Cross-border transactions without currency conversion
• Immediate settlement options

With Tap, you can send funds directly to other Tap users for free. Users will still be liable for the Bitcoin transaction fee as this is outside of Tap’s control.

Where to spend Bitcoin

As the Bitcoin payment ecosystem continues to grow, more and more options are becoming available for where you can spend your cryptocurrency:

Online retailers

• Major retail platforms (from Overstock to Gucci)
• Fast food chains (Burger King, Subway)
• Grocery stores (Whole Foods)
• Travel booking sites (Expedia)
• Digital service providers (Microsoft, AT&T)

Alternative methods

For many retailers that don’t accept Bitcoin, users can purchase gift cards using BTC. Alternatively, anyone with a Tap card can spend Bitcoin anywhere in the world that accepts Mastercard. Simply open an account and request a free card by entering your address on the app (some location limits apply). 

How to convert Bitcoin to cash

When you need to convert Bitcoin to traditional currency, you have three main options:

• Cryptocurrency exchanges (access to the top prices through Tap)
• Peer-to-peer marketplaces (platforms like LocalBitcoins)
• Bitcoin ATMs for immediate cash withdrawal

Alternatively, you can use your Tap card at any traditional ATM and withdraw the local currency. 

Things to look out for

When using Bitcoin for payments, it’s important to keep a few things in mind. Pay attention to exchange rates and transaction fees (displayed before you confirm the transaction) as they can vary between platforms. 

Processing times might also differ depending on network congestion. Additionally, be aware of verification requirements and daily withdrawal limits of the platform you use, which could affect how much and how quickly you can transact.

Security and best practices

Transaction safety

Always make sure that your Bitcoin is protected by following these security measures:

• Double-check recipient addresses
• Use secure internet connections
• Enable two-factor authentication
• Keep software and wallets updated

Risk management

Just to be on the safe side, to minimise risks when using Bitcoin for payments, start with small transactions to test the process and get comfortable with it. Also make sure you understand transaction fees and confirmation times, as mentioned above, as these can impact your experience. 

Last but not least, always keep records of your transactions and stick to reputable services and merchants to ensure a safe and reliable payment process.

Tax and legal considerations

Using Bitcoin can have tax implications, so it’s important to understand your responsibilities relative to the area that you live. You may need to pay taxes on any increase in value, keep detailed transaction records, report payments, and consider tax rules if you’re using Bitcoin for business purposes.

To stay compliant with regulations, keep detailed transaction records and understand any reporting requirements. Follow KYC (Know Your Customer) and AML (Anti-Money Laundering) procedures on the platforms you use, and consult a tax professional if needed to ensure you’re meeting all obligations.

Going a little deeper

Understanding the technology

In a very concise nutshell, the Bitcoin network operates through:

• Blockchain technology for transaction verification
• Mining processes to secure the network
• Hash rate implications for security
• Supply and demand dynamics that establish the price

Market considerations

When using Bitcoin for payments, there are a few market considerations to keep in mind:

• Price volatility affects final amount
• Transaction fee fluctuations when the network is busy
• Network congestion impacts

The future of Bitcoin payments

As the ecosystem continues to grow and improve, the future of Bitcoin payments looks bright. 

More merchants are beginning to accept Bitcoin, making it increasingly accessible for everyday use and people around the world. While at the same time, user interfaces are becoming more intuitive, making transactions smoother and easier for both new and experienced users. 

Enhanced security features are also boosting confidence among both consumers and businesses. Meanwhile, innovations like Layer 2 scaling solutions are addressing challenges like speed and cost, further supporting its adoption on a larger scale.

As Bitcoin continues its gradual integratration with traditional financial systems, the gap between crypto and mainstream finance is disintegrating. 

Conclusion

There is no denying that Bitcoin payments are changing the way we think about and use money. As the technology evolves, understanding the basics will help you use cryptocurrency safely and effectively. Whether for everyday purchases or business transactions, Bitcoin provides a secure, flexible, and accessible payment option.

Stay updated on changes in the Bitcoin ecosystem and regulatory changes in your country, as new tools and services are constantly being developed to make using cryptocurrency even easier and more secure. And if you’re serious about spending your Bitcoin (and managing it effectively), have a look at what the Tap platform has to offer to see if it aligns with your needs. 

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When making purchases with your debit card, you’re typically asked to provide a security code, also known as a CVV or CVV2 code. This 3-digit (or sometimes 4-digit) number is an important security feature that helps protect your card from unauthorised use. Understanding what this code is, where to find it, and why it's crucial to keep it safe can help prevent financial fraud and give you greater control over your accounts. In this article, we dive into the details.

What is the security code used for?

The debit card security code serves a critical purpose in verifying your identity and protecting against fraudulent activity. When you provide the code during a transaction, it confirms that you physically possess the card, rather than just having access to the card number alone. 

This helps prevent criminals from making unauthorised purchases, especially for online, phone, or mail-order transactions where the physical card is not present. By requiring the security code, merchants and financial institutions can have an additional safeguard against fraud, giving you greater confidence that your hard-earned money stays secure.

Why are debit card security codes important?

The bottom line is that debit card security codes play a vital role in safeguarding your financial information and protecting your hard-earned money. This security code acts as an additional layer of security beyond just your card number and expiration date and without it, criminals would have a much easier time making unauthorised purchases or accessing your accounts. 

Where can I find my debit card security code?

The debit card security code is typically found in one of two places on your card: 

On most standard debit cards, the 3-digit code is printed on the back of the card, often in the signature strip or just to the right of it. 

Some debit cards may have a 4-digit security code that is printed on the front of the card, usually in the top right corner. 

How debit card security codes work with contactless payments

While debit cards with security codes are primarily used for in-person, online, and over-the-phone transactions, the code also plays a role in contactless or "tap-to-pay" payments. 

When you hold your debit card up to a contactless payment terminal, the 3- or 4-digit security code is digitally transmitted along with your card information. This allows the payment system to verify your identity and approve the transaction, just as it would for a contact-based payment that requires manually entering the security code. 

The security code therefore provides an extra layer of protection, even for quick tap-and-go purchases.

CVV vs OTP

The key difference between a debit card's CVV (card verification value) code and an OTP (one-time password) lies in how they function to verify transactions. A CVV is a static 3 or 4-digit code printed on your physical debit card, which you manually enter to confirm your identity. 

In contrast, an OTP is a dynamically generated code, typically sent to your mobile device via SMS from the bank or an authentication app, that changes with each new transaction. While both add an extra security layer, OTPs provide stronger protection, as they cannot be reused like a static CVV. 

Combining the use of your debit card's CVV code and a one-time password (OTP) provides the strongest protection against financial fraud.

CVV vs PIN

Your debit card's PIN (Personal Identification Number) is different from the CVV (card verification value) code.

The PIN is used to verify in-person transactions when you use the physical card, like at a store checkout or ATM.

The CVV code is used instead for remote purchases, like online or over the phone, where the physical card isn't present.

Closing thoughts

In summary, the debit card security code, also found on a credit card, is an essential safeguard against fraud and unauthorised transactions. By understanding what this code is, where to find it, and how it protects your finances, you can take control of your financial security and enjoy greater peace of mind when using your debit card in the wild or online. 

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Crypto recovery scams involve fraudsters claiming they can recover lost or stolen cryptocurrency for a fee. These scammers prey on individuals who have lost access to their digital assets.

As cryptocurrencies grow in popularity, these deceptive schemes are also becoming more and more prevalent. Being able to identify and avoid such scams is crucial. Not only will it help to safeguard your current investments but will also prevent further financial losses. In this article we’re going to guide you through identifying these scams, and what to do from there. 

Signs of a crypto recovery scam

Spotting a crypto recovery scam can be easier if you know the telltale signs:

• Be wary of unsolicited offers to recover your lost or stolen crypto, as legitimate services don't operate that way. 
• Scammers often demand exorbitant upfront fees before providing any services, while legitimate ones typically charge after a successful recovery.
• Unrealistic promises of guaranteed recovery should also raise suspicion, as legitimate services are upfront about risks and limitations.

Another red flag is a lack of transparency about their methods and processes. Scammers tend to be vague, while legitimate services are open about their approach. 

Finally, watch out for high-pressure tactics like creating a false sense of urgency. Scammers may use these to rush you into a decision, whereas legitimate services allow you to make an informed choice. Acknowledging and staying vigilant about these signs can protect you from falling victim to crypto recovery scams.

How scammers typically operate a crypto recovery scam

In a cunning ploy, scammers impersonate representatives from reputable companies, reaching out to unsuspecting individuals with the promise of recovering funds lost in previous scams. These impostors may even possess specific details about the victims, such as the amount of money they had lost, further lending credibility to their claims.

Once they gain the trust of their targets, the scammers instruct the victims to promptly send Bitcoin or other cryptocurrencies to a wallet address controlled by the scammers themselves. In some cases, the scammers may suggest that the victims create accounts on cryptocurrency exchanges that allow multiple owners for a single wallet, such as Atomic Wallet. In other instances, the scammers may have already set up these accounts themselves and merely grant the victims access, ensuring complete control over the funds.

To further facilitate the transfer of funds, some victims are coaxed into downloading remote access software like AnyDesk, under the pretense of receiving assistance with setting up bank or exchange accounts. This tactic grants the scammers direct access to the victims' devices, providing yet another avenue for diverting funds to their chosen destinations.

How to protect yourself

To protect yourself from crypto recovery scams, it's essential to do thorough research on any company or service before engaging with it. Be sure to scrutinize their credentials, reviews, and track record, and if something sounds too good to be true, it usually is. 

As mentioned above, always be highly sceptical of unsolicited offers or claims, as these are often tactics used by scammers. Instead, do your own homework and find a service that aligns with your needs and sense of comfort. 

Never share your private keys or seed phrases with anyone, as this grants them complete access to your funds. Instead, consider using reputable and trusted crypto recovery services, such as CryptoRecovery.com or CoinRecovered.com, which have established reputations and transparent processes.

While this might sound like scary business, rest assured that by exercising due diligence, maintaining a healthy dose of scepticism, and safeguarding your private information, you can significantly reduce the risk of falling victim to these deceptive schemes.

Reporting crypto recovery scams

If you suspect you have been contacted by a crypto recovery scam service or found one online, report it to the appropriate authorities as well as the Tap team immediately. Many countries have dedicated cybercrime units or financial fraud hotlines where you can file a complaint. Additionally, by alerting Tap we can escalate the report and inform other crypto holders before they potentially fall prey to these scammers.

Always remember that raising awareness is crucial in combating these scams. Share your experience on forums, social media, or with your network to warn others. By doing so, you can help prevent more people from falling victim and contribute to the collective effort against crypto-related frauds.

Key takeaways from this article

Key signs of a crypto recovery scam include unsolicited offers, demands for exorbitant upfront fees, lack of transparency about methods, unrealistic promises of guaranteed recovery, and high-pressure tactics. Exercise extreme caution and conduct thorough due diligence before engaging with any service claiming to recover lost or stolen cryptocurrency.

Additionally, spreading awareness is crucial to combating these scams. Share information about the telltale signs and your experiences with Tap, the appropriate authorities, your network and online communities. By raising awareness, you can help others avoid falling victim to these deceptive schemes and contribute to the collective effort against crypto-related fraud.

For more information, here are the top 5 crypto scams people fall victim to.

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Today, TikTok ranks as the fifth largest social media platform globally, used by 31% of social media users and 30% of all internet users worldwide. Taking things one step further, TikTok is also busy revolutionising social media shopping through its TikTok Shop. Looking to dive in?

If you’re unsure how TikTok Shop works or what payment options are available, you’re in the right place. This guide covers everything you need to know about TikTok Shop payment methods.

What is TikTok Shop?

TikTok Shop is an integrated marketplace where you can purchase products directly through the app. Here you'll find everything from trending fashion items to electronics, all available from both independent sellers and major brands. *It’s worth noting that these are third-party sellers and not from TikTok directly. 

You’ll also need an account to use it. 

Finding TikTok Shop

Getting started is simple:

• Download the TikTok app and create an account if you haven't already
• Look for the Shop icon at the bottom of your screen
• Start browsing products through videos, lives, or the Showcase tab

What payment methods are available on TikTik Shop?

TikTok Shop offers several convenient payment methods to suit your preferences and location:

Card payments

• All major cards accepted (Mastercard, Visa, American Express, Discover - yes, you can also use your Tap card)
• Both credit and debit cards are welcome

Digital wallets

• Apple Pay (iOS users)
• Google Wallet (Android users)
• PayPal

Buy Now, Pay Later

• Klarna: Split larger purchases into four interest-free payments

Making your first purchase

Ready to start shopping? Follow these simple steps:

• Find a product you love
• Click "Add to Cart"
• Hit "Check out" when ready
• Enter your shipping details and billing address
• Select your preferred payment method
• Review your order
• Confirm and place your purchase

Managing your payment methods

To add or change your payment method:

• Visit your TikTok profile
• Select "Your orders"
• Tap "Payments"
• Add new payment methods or set your preferred option

Shopping tips

• Always verify seller ratings and reviews before purchasing
• Check product descriptions and shipping information carefully
• Keep track of your orders through the TikTok app
• Enable notifications to track your order status
• Purchases are eligible for Tap cashback rewards

With these payment options and your Tap card at hand, you're ready to explore everything TikTok Shop has to offer.

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In today's global economy, managing your finances, both crypto and fiat, across borders has never been more important. With this in mind, we’ve created innovative solutions for both personal and business users with the Tap Personal Account and Tap Business Account. 

While both accounts share some core features, they each cater to specific needs. Let's dive into the details to help you choose the right account for your financial journey. 

Shared features: the Tap advantage

Both Tap Personal and Tap Business accounts offer a range of powerful features designed to simplify your financial life:

• Multi-currency capabilities: Hold, send, and receive money in multiple currencies.
• Competitive exchange rates: Enjoy favourable rates when converting between currencies.
• Low-fee international transfers: Send money abroad without breaking the bank.
• Tap card: A versatile debit card for spending in multiple currencies worldwide.
• User-friendly mobile app: Manage your finances on the go with ease.
• Cashback rewards: earn up to 8% Cashback on any card or online transactions.
• Money management on the go: Get real-time notifications on transactions and monthly statements.

Tap Personal Account: personal finance, globalised

The Tap Personal Account is perfect for individuals who:

• Live, work, or travel internationally
• Need to send money to family or friends abroad
• Want to shop online in different currencies
• Seek a hassle-free way to manage personal finances across borders
• Are savvy investors looking to manage multiple currencies in one secure location

Key features of the Tap Personal Account include:

1. Easy account opening: Get started quickly with a simple online process.
2. Free local account details: Receive payments like a local in multiple countries.
3. Instant transfers: Send money to other Tap users in seconds, for free.

Tap Business Account: powering global commerce

The Tap Business Account is tailored for:

• Small to medium-sized businesses
• Companies with international operations
• Startups looking to scale globally

In addition to the features shared with the Tap Personal Account, the Tap Business Account offers:

1. Multi-currency access: Easily set up checkout payment channels for crypto and major national currencies with access to local and international payment rails.
2. Crypto to fiat: Receive and send over 45 cryptocurrencies directly from your account with an institutional-grade OTC desk. 
3. Payment links: Get an individual IBAN and receive and send payments in EUR and GBP with SEPA Instant
4. White card labelling service: Create customisable cards for your business or clients using the integrated service. 
5. Cheaper payroll payments: Avoid bank fees when making multiple payments efficiently, perfect for paying salaries or multiple suppliers.
6. Access to an account manager: each company is assigned a dedicated account manager.

Making the right choice

Choosing between a Tap Personal Account and a Tap Business Account depends on your specific needs:

• If you're an individual looking to simplify your personal international finances, the Tap Personal Account is your go-to solution.
• For businesses of any size aiming to streamline their global financial operations, the Tap Business Account offers the advanced features you need to thrive in the international marketplace.

Both accounts reflect Tap's commitment to providing innovative, user-friendly financial solutions for our increasingly connected world. Whether you're planning your next international adventure or expanding your business across borders, Tap has you covered.

Ready to take control of your global finances? Visit withtap.com to learn more and download the app, and sign up for the account that best suits your needs.

While these terms might seemingly be used interchangeably, there are in fact fundamental differences between them. Whether you're brand new to the industry, looking for a new investment opportunity, or have been in the market for a while, distinguishing between the three will be a valuable endeavour. When it comes to the business of blockchain assets and the information surrounding it, we know all about it. Let's get into it.

What Are Digital Assets?

Digital assets are non-tangible assets that are created, traded and stored in a digital format. This includes everything from a website to a spreadsheet to a logo, anything uniquely identifiable that holds value. In the context of digital assets vs cryptocurrencies vs tokens, both cryptocurrencies and tokens are digital assets as they're created, stored and traded using blockchain technology. 

Through blockchain technology, cryptocurrencies and tokens utilize an advanced encryption technique known as cryptography. This maintains their security and ensures that the digital assets cannot be counterfeited or double-spent. Each individual asset represents something, whether it be content, value or a tangible item.

What Are Cryptocurrencies?

While cryptocurrencies fall under the umbrella of digital assets, they too hold a unique characteristic. In order for a digital asset to be classified as a cryptocurrency, it must be created on its own unique blockchain (often referred to as a blockchain's native token). 

Cryptocurrencies can be traded as a medium of exchange or store of value, depending on the platform for which it is built. On top of that, cryptocurrencies can also be used to pay transaction fees for using the network, or as an incentive to ensure the network is well-maintained. 

Typically, cryptocurrencies are decentralized meaning that they do not rely on a central entity to maintain the network, instead, they are operated using code to facilitate transactions and issuance. Built using blockchain or distributed ledger technology (DLT), cryptocurrencies use cryptography to secure each network in an automated, trustless manner and avoid any fraud.
Bitcoin, as it is created using its own blockchain and acts as a form of digital money, is an example of a cryptocurrency.

What Are Tokens?

Tokens differ from cryptocurrencies in that they are created on top of existing blockchain networks and not their own. A prime example is any ERC-20 token built on top of the Ethereum network, while these are still digital assets, they are classified as tokens due to their use of an existing blockchain. DAI, COMP and USDT are all examples of tokens that utilize the Ethereum blockchain.

While some are also mediums of exchange or stores of value, tokens provide more varied use cases. For example, some tokens are used to play games while others might be used for services specific to that platform, or across the greater decentralized finance (DeFi) landscape. 

There are a number of token standards available which each serve different use cases, the majority of which are built on Ethereum. The most common, the ERC-20 token standard, allows for the creation of a token that can then be used across a range of compatible dapps (decentralized apps). Another common token standard is the ERC-721 which is used to create non-fungible tokens, NFTs.

Tokens are typically characterized by the following:

• Permissionless
• Programmable
• Trustless
• Transparent

Tokens tend to take on much wider use cases, such as representing both tangible (property, art) and non-tangible (processing power, governance rights) which cryptocurrencies are integral to the running of the blockchain network. ‍

In Conclusion

Digital assets encompass both cryptocurrencies and tokens, while cryptocurrencies are built using a unique blockchain, and tokens are built on top of an existing blockchain. As the blockchain industry and the regulation around it continue developing, it is likely that the token standards and the range of use cases across both cryptocurrencies and tokens will continue to develop to provide a vast array of social and economic solutions.

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