1. About Bitcoin (BTC) and Bitcoin cash (BCH)
What is Bitcoin (BTC)?
Bitcoin is a cryptocurrency or a form of decentralized digital currency. It works without a central bank or single administrator and can be sent from user to user on the peer-to-peer Bitcoin (BTC) network without the need for intermediaries.
What is Bitcoin cash (BCH)?
Bitcoin cash is an upgraded version of the Bitcoin software. Bitcoin cash is more user-friendly and useful as transactions are faster and cheaper compared to Bitcoin (BTC).
Can Bitcoin cash be exchanged into my local currency?
Yes. Bitcoin cash is just like a currency, it can be converted into any other currency by buying or selling it on a cryptocurrency exchange. Exchanges are independent companies that you can use to buy and sell cryptocurrencies. When thinking about buying or selling cryptocurrency, it is a good idea to do some research on the exchange you’re thinking of using. Most cryptocurrency exchanges are not regulated financial institutions and you use them at your own risk.
Here are some of the more well-known cryptocurrency exchanges and the countries where they are headquartered:
- Coinbase (USA)
- Kraken (USA)
- Coinsquare (Canada)
- Poloniex (USA)
- Bitstamp (UK)
- Shapeshift (Switzerland)
- Luno (Singapore)
- Huobi (Singapore)
- Bitfinex (China)
- OKEX (China)
- Bithumb (South Korea)
- LocalBitcoins (Finland)
What is a cryptocurrency wallet?
A wallet is a place where you keep your Bitcoin cash. If you want to send Bitcoin cash to somebody, you can send it from your wallet to their wallet in just a few taps in your Centbee app. A Wallet stores your secret Phrase and Bitcoin cash.
Wallets create Addresses which are similar to email addresses or Account Numbers. Bitcoin is sent to Addresses. If you want somebody to send you Bitcoin cash you must give them your Address. If you want to send Bitcoin cash to somebody you need to either Scan or copy their Address.
Think of a wallet as a cryptocurrency version of a bank account. Some wallets are just an app that you can access on your desktop or phone, and some wallets are physical devices (called hardware wallets) where you can store your Bitcoin cash. Think of a hardware wallet as a safe.
Why do I need a wallet?
You need a wallet so that you can send or receive Bitcoin cash. It’s also a useful way to be able to see your Bitcoin cash balance, and its value in fiat currency. Wallets are a useful way to pay for goods and services at retailers.
Is the Centbee Bitcoin cash wallet free to use?
Yes. We don’t charge a fee to download or use the app. However, all wallets charge a “Mining Fee” whenever you send Bitcoin cash. This “Mining Fee” is like a transaction processing fee. Centbee does not receive this fee. It is sent to Bitcoin cash miners who do the job of processing the transaction for a very low fee per transaction.
Can I use Centbee from anywhere in the world?
Yes. Centbee can be used by customers all over the world. All you need is a smartphone with a SIM card. You must be connected to the internet in order to use the wallet.
What are the benefits of using the Centbee wallet?
Centbee is easy to use and has been designed with simplicity in mind. We pioneered “Contact Send”, a feature where you can send Bitcoin cash to your friends using your phone’s contacts list. Contacts that also have a Centbee wallet will be automatically displayed in your Centbee wallet. You don’t need to know their Addresses to be able to send them Bitcoin cash.
How long does it take for a transaction to reflect in my wallet?
When you send Bitcoin cash to somebody, you’ll notice that a transaction is created. Once you’ve pressed ‘SEND’, the Bitcoin cash starts moving out of your wallet and into theirs. This can take anywhere from a few seconds to a few minutes.
You can view the payment in the Transactions section of Centbee Wallet.
If you sent the Bitcoin cash to a contact you will see their name.
When you receive Bitcoin cash the amount will be displayed in the Transactions section. The amounts that you have received will be displayed in Green. The amounts that you have sent will be displayed in Red and have a minus sign (-).
Does Centbee also offer other cryptocurrencies?
No. We believe that Bitcoin cash is currently the best cryptocurrency because of its low transaction (or mining) fees and because it is fast and reliable. We have no plans to provide trading facilities or wallet facilities for other cryptocurrencies.
Can I use Centbee on the desktop / PC?
No. Centbee is only available as a mobile app in the Google Play and App Store.
Where can I spend my Bitcoin cash?
There are many online retailers that accept Bitcoin cash. The number of physical stores accepting Bitcoin cash is growing daily.
Here are some websites that show places that accept Bitcoin cash:
Do you log my activity on your servers?
Why do I need to supply my mobile phone number?
Your mobile number is required to ensure that your contacts do not send Bitcoin cash to the wrong people. This method is similar to Whatsapp to ensure that users don’t send messages to the wrong people. If somebody wants to send Bitcoin cash to one of their Contacts they can simply select the Contact in Centbee. A fresh address is retrieved from the Contact and in this way the payment can be made. We have devised this method so that you can simply choose a contact in your phone to send Bitcoin cash to, instead of having to enter a long Bitcoin cash address or scan a QR code (although can easily do that with our app too.)
Is Centbee an authorised Financial Services provider?
No. As the cryptocurrency industry is in its infancy, most regulation hasn’t provided for new products and services in cryptocurrency. Centbee does not provide investment advice, and we are not registered as a Financial Services Provider.
Why do you need my proof of identity?
If you start sending large amounts of Bitcoin cash to people, we are legally required to verify your identity. This is to comply with global anti-money laundering and terrorist financing regulations.
Is Centbee regulated?
No. National regulators have not yet issued regulations that license Bitcoin cash wallets.
What derivation path does Centbee use?
Our derivation paths are as follows:
- m/44’/0/0/0 – for Receive addresses
- m/44’/0/1/0 – for Change addresses
We combine the user’s PIN with the 12-Word phrase to create the seed for your wallet.
How do I get Bitcoin cash into my wallet?
You can put money into your Centbee wallet by sending yourself Bitcoin cash from another wallet or exchange. We recommend the following exchanges to buy Bitcoin cash:
How do I send Bitcoin cash to someone?
The easiest way is by selecting a person from your ‘Contacts’ list in the main menu. All of your phone contacts who have installed Centbee will be shown there. You can send Bitcoin cash to them immediately without knowing their Bitcoin cash wallet address or QR code.
Can I send Bitcoin cash to someone who does not have a Centbee Wallet?
Yes, you can send Bitcoin cash by scanning the QR code of their Bitcoin cash address, or by copy and pasting in the alphanumeric address.
How do I receive Bitcoin cash?
You can easily receive Bitcoin cash in your Centbee wallet by tapping “Receive”. The app will generate a Bitcoin cash wallet address which is displayed as a QR code and an alphanumeric address. You can either present your phone to be scanned by the person who wants to send you money, or you can use a variety of ways to share the QR code and alphanumeric address with the person who is going to send you money. Some of the ways the Centbee wallet app lets you share your Bitcoin cash wallet address are:
- Text message
- Social Media (e.g. Facebook, Instagram, Twitter)
Can I convert Bitcoin cash (BCH) to Bitcoin (BTC)?
Yes. You can use cryptocurrency conversion apps to change Bitcoin cash (BCH) into Bitcoin (BTC). Two well-known apps are:
Or you can convert cryptocurrencies on any reputable cryptocurrency exchange.
3. Merchant Services
As a business, can I accept Bitcoin cash as payment?
Yes. Bitcoin cash is an ideal way to receive payments from anyone, anywhere. Payment confirmation is fast (instant for lower-value amounts), and the cost is low. As the Bitcoin cash blockchain is cryptographically secure, your payments are irrevocable – no more “chargebacks” and “disputes” from your bank.
Centbee can provide assistance to businesses with accepting Bitcoin cash. We can ensure that your receipts are private, and settled daily into your (South African for now) bank account. We convert every Bitcoin cash receipt instantly into local currency so you don’t take any cryptocurrency price volatility risk.
Will I be paid in fiat currency or Bitcoin cash?
You will be settled in fiat currency (South African Rands initially).
What fees are charged do you charge?
The fee for this service will be negotiated directly with the merchant.
How do I sign up to accept Bitcoin cash?
We are accepting applications for pilot merchants. Please send an email to firstname.lastname@example.org and we will get in touch with you.
Will I receive support from Centbee if I am a merchant?
Centbee will provide mark-off files to support your financial reconciliation process. Bitcoin cash payments are irrevocable, so there will not be disputes or charge-backs.
In which countries are merchant services available?
Merchant services are currently only available in South Africa. Countries on our roadmap include United Kingdom, United States, Argentina, Australia, New Zealand, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudi Arabia, South Korea, Turkey, Zimbabwe, Zambia, Nigeria, Kenya, Mozambique, Uganda, Rwanda, Ghana and Senegal.
4. Safety and Security:
Is my Bitcoin cash safe in the Centbee wallet?
Yes. Centbee does not store your ‘private key’. Your mnemonic (or 12-word phrase) is stored in the secure storage area of your mobile phone. Centbee software has been tested by information security experts, and we have taken all reasonable steps to prevent hacking.
To ensure the safety of your Bitcoin cash, your phone must have the screen lock enabled, either through a PIN, fingerprint or pattern. You must enter the Centbee PIN every time you open the Centbee app.
Are my transactions private and secure?
What happens if I lose my phone?
Download and install the app again on your new phone, and register with your existing Mnemonic (the 12-word phrase you used when you originally signed up for Centbee) and your 4 digit PIN. Keep those 12 words and PIN secret and safe!
We recommend writing them down and keeping them in multiple secure physical locations.
What happens if I change my SIM?
Your wallet will still be available on your phone, however, your contacts might still have your old number. If you do not tell them your new number you will still be able to receive and send Bitcoin cash but you won’t receive any notifications.
Tell your contacts to update your number!
Keeping phone number, but start using a new phone:
If you get a new phone but keep your same number, all you need to do is download and install the Centbee app on your new phone. When opening the app for the first time, you’ll be asked whether you want to pick a new phrase or import your existing wallet. Pick “import existing wallet” and use your 12-word phrase. You must also use the old PIN. You now have access to your Bitcoin cash again.
Changing phone number and using a new phone
All you need to do is download and install the Centbee app on your new phone. When opening the app for the first time, you’ll be asked whether you want to pick a new phrase or import your existing wallet. Pick “import existing wallet” and use your 12-word phrase. You must also use the old PIN. You now have access to your Bitcoin cash again.
Tell your contacts to update your number!
Why do I need a 4-digit PIN?
The 4-digit PIN prevents anyone from opening your Centbee wallet. This is a deliberate security feature designed to keep your money safe. It is also used in combination with your phrase (or mnemonic) to restore your wallet. Both the mnemonic and PIN are required to restore your wallet. Using a different PIN with the mnemonic will not restore your wallet.
Store your 4 digit PIN with your 12-word phrase (or mnemonic). They work together as a backup for your wallet. Don’t lose either!
What is a Mnemonic phrase (sometimes called a mnemonic)?
A mnemonic phrase is a unique set of 12 words that act as a password to your Bitcoin cash wallet. A mnemonic phrase is automatically generated by your wallet the very first time you install the app. You must make sure you write down and keep your mnemonic phrase when you see it for the first time. Store it in a safe place that only you can access. Anyone who has access to your mnemonic has access to your money.
The only time you will be able to see the mnemonic phrase is when you sign up, you can’t access it once the sign-up process is complete. You will not be able to generate a “Forgot Mnemonic” email to remind you what it is and you cannot reset the mnemonic.
Why is it important to save a copy of my 12 word phrase (Mnemonic)?
Your Mnemonic phrase (the 12-words that you used when you signed up) is like a very secure password for your wallet. You can only access your money if you are in possession of the 12-word mnemonic phase and 4 digit PIN. Centbee does not have access to your Mnemonic or PIN at all, and cannot help you recover it if you lose it. If you lose your Mnemonic and PIN, you will not be able to access your Bitcoin cash again.
What is a ‘Private Key’?
A Private Key is similar to a password that is linked to your Bitcoin cash Address. If you have the Private Key for an Address you can spend the balance available on the Address. Private Keys are not stored on your Centbee wallet. The 12-word phrase (or mnemonic) dynamically generates Private Keys whenever you want to spend the balance on the Address.
What is the difference between a ‘Private key’ and a Mnemonic phrase?
Your 12-word phrase or Mnemonic is used as a “seed” to generate your Addresses and Private Keys. If you lose your wallet you can restore it easily by using the Mnemonic and PIN. You do not need to save or know your Private Keys.
Is the Centbee Bitcoin cash wallet safe from hackers?
We do regular security reviews from industry experts and correct any vulnerabilities. Centbee does not store the ‘private keys’ and hence these cannot be hacked from our systems. If you allow your Mnemonic and PIN to be discovered by somebody they can use them to take all your Bitcoin cash so it is VERY important to keep them safe. You can write them down on paper and store them in a physical safety deposit box or something similar.
Where do I view my Private Key?
You cannot view your Private Key when you use the Centbee wallet. This a deliberate security feature. Private Keys are generated dynamically as you need them and are not available on the device.
Does Centbee store my Private Key?
No. We do not store Private Keys.
Do I need to export my Private Key for safe keeping?
No. You don’t need to export your Private Key. The only information that needs be remembered and stored for safekeeping is your 12-word mnemonic phrase and your 4 digit PIN.
Is Bitcoin cash a safe investment?
Bitcoin cash and other cryptocurrencies are not an investment. Think of Bitcoin cash and other cryptocurrencies as digital cash or electronic money. Its purpose is to make it easy to buy goods and services or send money to people. Centbee does not provide investment advice. The value of cryptocurrencies can fluctuate greatly, and you should educate yourself on the risks. The following websites provide regular updates on news in the blockchain and cryptocurrency world: