While we have provided general information about Bitcoin below, Bitcoin itself is not a security, and is not regulated by the Ontario Securities Commission (OSC). We encourage you to learn more by reading the information linked in the last paragraph below.
There are specific ATM machines that you can use to purchase Bitcoin and other cryptocurrencies. When you purchase bitcoins, generally your bitcoins will be deposited in your “virtual wallet”. If you do not have a virtual wallet, you may receive a printed receipt with a code. This receipt will be the only record you have of your bitcoin purchase – if you lose it there is no way to recover this code – so keep it in safe place and do not share it with others.
Some scammers have targeted individuals by asking them to deposit funds into these bitcoin ATMs. If you are asked to do this, contact the Ontario Securities Commission.
Keep in mind that there is limited use for bitcoins at this time. They are not considered legal tender, so, for example, you can’t use bitcoins in place of cash at a store.
Investors may be eager to get in on this new trend, but like any investment, make sure you understand how they work and the considerable risks that often accompany these investments before you make a decision to invest. Learn more about cryptocurrencies on GetSmarterAboutMoney.ca.