Bitcoin transactions work via smart contract, meaning that both parties have to "sign off", or agree, before the transaction can be completed. Bitcoin is very similar to cash in this way. Cash transactions can only occur if you physically place cash into someone else's hands, whereas bitcoin transactions can only occur if you send the Bitcoin to complete an invoice. Therefore, it is impossible to claim a fraudulent bitcoin payment for the same reason you can't claim a fraudulent cash payment: you have to actively complete the transaction for it to be valid.

Like cash, bitcoin can be robbed from you. That's why it's very important to set up the correct security protocols to protect your bitcoins. You can do this by:

  • Setting up a strong password with a password generator.
  • Enabling 2FA for your account, so that even if someone does manage to guess your password, they would still need your phone or personal authentificator to verify a transaction. For more information on 2FA, see our article here:
  • Never let anyone know your private keys, under any circumstance.

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