Practice Test Geeks(CBP) Certified Bitcoin Professional Practice Test
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Bitcoin Commerce and Ecosystem Flashcards

7 cards from real CBP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Bitcoin Commerce and Ecosystem flashcards as text

  1. What is a Bitcoin ATM (BTM) and what function does it serve?

    Answer: A kiosk that allows users to buy or sell Bitcoin using cash or card

    Bitcoin ATMs are physical kiosks that let users purchase Bitcoin with cash (and sometimes sell Bitcoin for cash), bridging the gap between fiat and crypto.

  2. What is the Lightning Network's primary benefit for Bitcoin commerce?

    Answer: It enables near-instant, low-fee Bitcoin micropayments off-chain

    The Lightning Network creates off-chain payment channels that allow fast, cheap micropayments, making Bitcoin practical for everyday retail transactions.

  3. Which scenario best describes a Bitcoin escrow service?

    Answer: A third party holds Bitcoin until agreed conditions between buyer and seller are met

    Bitcoin escrow services hold funds in a multi-sig address until both parties fulfill contractual obligations, reducing counterparty risk.

  4. What does KYC (Know Your Customer) require Bitcoin businesses to do?

    Answer: Verify the identity of their users to comply with anti-money laundering laws

    KYC regulations require Bitcoin exchanges and businesses to collect and verify customer identity documents to prevent money laundering and fraud.

  5. A user wants to pay for coffee using Bitcoin without waiting for block confirmation. Which solution is most appropriate?

    Answer: Lightning Network payment channel

    Lightning Network payments settle instantly off-chain, making them ideal for small, time-sensitive purchases like coffee.

  6. What is a Bitcoin custody service?

    Answer: A professional service that securely holds Bitcoin private keys on behalf of clients

    Bitcoin custody services (like those offered by banks or specialized firms) securely manage private keys for institutional clients who cannot self-custody.

  7. What is the significance of Bitcoin's fixed supply of 21 million coins for commerce?

    Answer: It creates a deflationary monetary property that can't be inflated by any issuer

    Bitcoin's hard cap of 21 million ensures no central authority can inflate the supply, making it a scarce store of value unlike fiat currencies.