5 Bitcoin Mistakes Canadian Beginners Make

Getting into Bitcoin is straightforward — but there are a few mistakes that cost Canadians real money every year. Here’s what to watch out for.

Buy Bitcoin Safely at 1Bitcoin.ca →

Mistake #1: Buying From Unregistered Platforms

The mistake: Using an unregulated exchange or peer-to-peer seller who isn't FINTRAC-registered.

The risk: No legal recourse if they disappear or steal your funds. No consumer protection.

The fix: Only buy from FINTRAC-registered platforms. 1Bitcoin.ca is registered (M21226416). Verify any platform at fintrac-canafe.gc.ca before buying.

Mistake #2: Leaving Bitcoin on the Exchange

The mistake: Buying Bitcoin and leaving it on the platform — not withdrawing to your own wallet.

The risk: Platform failures such as Celsius, FTX, and BlockFi wiped out billions. "Not your keys, not your coins."

The fix: Withdraw to your own wallet after purchase. 1Bitcoin.ca delivers directly to your wallet by default — we never hold your Bitcoin.

Mistake #3: Falling for Scams

The mistake: Sending Bitcoin to an "investment platform" recommended by someone online, or paying "gas fees" to release "frozen" Bitcoin.

The risk: Total loss. Bitcoin transactions are irreversible.

Red flags:

Guaranteed returns
Strangers asking you to send Bitcoin
Platforms you can't find information about
Requests for "fees" to release funds

The fix: If it sounds too good to be true, it is. Call us before sending anywhere unusual: help@1bitcoin.ca

Mistake #4: Losing Your Seed Phrase

The mistake: Not writing down your wallet seed phrase — or storing it digitally.

The risk: If your device breaks or is lost, your Bitcoin is gone forever. No recovery possible.

The fix: Write your 12-24 word seed phrase on paper. Store in a fireproof safe or safety deposit box. Never photograph it. Never type it into any website.

Mistake #5: Not Keeping Tax Records

The mistake: Not tracking purchases with dates and CAD values, then being unable to calculate capital gains at tax time.

The risk: CRA penalties for inaccurate reporting.

The fix: Keep a simple spreadsheet: date, amount purchased (CAD), BTC received. Your cost basis is needed when you sell.

Buy Bitcoin Safely at 1Bitcoin.ca →