CBP Bitcoin Commerce and Ecosystem 2

Question 1

What is a Bitcoin payment processor primarily used for in e-commerce?

Accepted Answer

To convert Bitcoin payments into fiat currency for merchants

Answer

To mine new Bitcoin blocks

Answer

To store Bitcoin in cold wallets

Answer

To validate blockchain consensus rules

Question 2

Which of the following is a key advantage of Bitcoin for cross-border commerce?

Accepted Answer

It eliminates foreign exchange fees and banking intermediaries

Answer

It requires a bank account to send

Answer

It is only usable in countries with Bitcoin regulations

Answer

It requires 24-hour settlement windows

Question 3

What does 'zero-confirmation' (0-conf) mean in a Bitcoin transaction context?

Accepted Answer

The transaction has been broadcast but not yet included in a block

Answer

The transaction was rejected by the network

Answer

The transaction has been confirmed 6 times

Answer

The transaction requires no digital signature

Question 4

A merchant accepting Bitcoin for a $50 item wants to minimize exposure to price swings. What is the best approach?

Accepted Answer

Immediately convert Bitcoin received to USD using a payment processor

Answer

Hold all Bitcoin received indefinitely

Answer

Accept only large Bitcoin payments

Answer

Disable Bitcoin payments during volatile markets

Question 5

What is the role of a Bitcoin exchange in the ecosystem?

Accepted Answer

To provide a marketplace where Bitcoin can be bought and sold for fiat or other assets

Answer

To create new Bitcoin through mining

Answer

To act as a node that validates transactions

Answer

To issue Bitcoin debit cards

Question 6

What is 'merchant chargeback risk' and how does Bitcoin address it?

Accepted Answer

Bitcoin transactions are irreversible, eliminating chargeback fraud that affects card payments

Answer

Merchants risk losing Bitcoin to hackers; Bitcoin has no solution

Answer

Customers can reverse Bitcoin payments easily after delivery

Answer

Bitcoin allows 30-day refund windows by default

Question 7

Which Bitcoin ecosystem participant is responsible for relaying transactions to the network?

Accepted Answer

Full nodes

Answer

Miners only

Answer

Exchanges only

Answer

Payment processors only