Q&A
To help readers build knowledge surrounding crypto currency we strongly recommend and encourage you carry out your own research and not to solely rely on the information provided in this article. With this in mind, let’s begin!
Please Note: This is NOT financial advice, it is purely meant for educational purposes only.
Introduction
While crypto currency may not fully replace fiat or local currencies, we believe it is poised to become the dominant form of currency. It’s speed, low transaction costs, and ability to facilitate instant global payments are driving widespread adoption. For example, El Salvador has adopted Bitcoin as legal tender, and major financial platforms like PayPal, Visa, and Mastercard now support crypto transactions. A 2024 Chainalysis report shows global crypto adoption has surged over 880% since 2020, highlighting a significant shift toward digital currencies.
Looking ahead, industry forecasts suggest the global crypto currency market could exceed $8 trillion by 2030, driven by innovation in blockchain infrastructure and increased institutional investment.
What are Digital Currency?
Crypto currency is a digital token or coin which carries ‘internet or store of value’ . What determines the ‘internet or store of value’ is via the mass adoption of a specific token by governments, banks, institutions, based on token utility. Mainstream adoption, tends to increase the price of a token’s value. The total number of tokens available to buy and sell can create scarcity i.e. supply and demand with limited availability and high adoption will affect the price of a token in a positive manner. The presence or absence of such adoption can create volatility within the financial markets, driving token prices both up and down. This unpredictability introduces huge volatility due to underlying market forces.
What is Digital Utility?
Every crypto currency within a blockchain ecosystem serves a specific purpose. This refers to the practical function of digital assets. They are differentiated by their many digital utility characteristics such as; access to services or products, medium of payment, governance, staking and rewards, incentivisation including digital ownership. In summary digital utility is what gives a crypto currency practical value beyond speculation without it, a token is often just a speculative asset. A strong utility often leads to sustained user demand and network growth.
What is Internet of Value?
‘Internet of Value’ is essentially a new layer built on the internet, enabling the efficient exchange of various forms of value. The concept envisions a blockchain-powered internet where assets, including monetary values, can be transferred instantly and securely between individuals without the need of intermediaries.
What is Central Bank Digital Currency (CBDC)?
Central Bank Digital Currency otherwise known as CBDC, this is not the same as Crypto currency. CBDC will be or in some countries already is the digital monetisation of its fiat (local or national) currency. The biggest differentiating factor to highlight would be CBDC is centralised through the control of Governments where crypto currency is decentralised meaning not controlled by central Governments hence, forth the rise in popularity..
What is Blockchain Technology?
In the previous paragraph we mentioned blockchain ecosystem. Blockchain technology is a decentralised digital ledger that records transactions across many computers, ensuring transparency, security, and immutability. Each block contains data, a timestamp, and a cryptographic link to the previous block, forming a secure chain eliminating tampering or fraud without a central authority.
Regulatory Governance
The decentralised nature of cryptocurrency has raised concerns among global financial institutions, particularly around regulatory uncertainty, energy consumption, security, and scalability. In response, the development of standardised global frameworks has gained momentum. A significant step in this direction is the adoption of ISO 20022, which by November 2025 will become the global standard for financial messaging.
ISO 20022 introduces a unified structure for financial data, allowing institutions to exchange information more accurately and efficiently. For the crypto sector, this standard enhances interoperability between blockchain networks and traditional financial systems, paving the way for seamless integration. Cryptocurrencies and blockchain platforms that are ISO 20022-compliant, such as Ripple (XRP), Stellar (XLM), and Algorand (ALGO) are better positioned to be adopted by banks and central financial infrastructures. As a result, ISO 20022 plays a pivotal role in legitimising digital assets and bridging the gap between decentralised finance and conventional banking.
Purpose of ISO 20022
ISO 20022 is a globally regulated standard for financial messaging, enabling cross-border payments to take place with structure, and consistency across messaging systems worldwide.
We asked OpenAI for further clarity.
Improve Data Exchange: The standard allows for richer, more structured data in messages, including additional details about the transaction, parties involved, and purpose of the payment.
Enhanced Processing: By using a structured and standardized format, ISO 20022 facilitates automated processing and reconciliation, reducing manual intervention and errors.
Cross-Border Payments: The standard is designed to support cross-border payments, making it easier for institutions to send and receive payments across different countries and systems.
Improve Data Analysis: The enhanced data in ISO 20022 messages enables better reporting, analysis, and risk management capabilities.
Compliance: The structured data also aids in compliance with regulatory requirements, such as those related to anti-money laundering and counter-terrorism financing.
Reduce Fraud: The richer information in ISO 20022 messages can help to identify and prevent fraudulent transactions.
Interoperability: The standard promotes interoperability between different systems and platforms, allowing financial institutions to work together more effectively.
Facilitation of Innovation: By providing a stable and standardized foundation, ISO 20022 allows for the development of new financial services and applications.
Differentiating Meme, Alt and Stable Coins?
Meme coins by design is to engage communities and be used in peer-to-peer payments, speculative investing, or trading. Examples of meme coins are; Doge coins, Pepe, Shiba-Inu, are some examples.
Alt coins is the abbreviation of ‘Alternative’. Alt coins are designed for different purposes, such as improving transaction speeds, offering different consensus mechanisms, or providing alternative use cases. In general Bitcoin is often considered the first and most well-known cryptocurrency. Altcoins are all the crypto currencies that were created after Bitcoin and are seen as alternatives. Examples of Alt coins are; Bitcoin, Ethereum, Litecoin, XRP. XLM are some examples.
A Stable Coins is a type of crypto currency that is designed to have a stable value by being pegged to a reserve asset like a fiat currency (e.g. USD, or Euro), or commodity like gold. The goal of a stable coin is to reduce the volatility typically associated with crypto currencies such as Bitcoin and Ethereum, which can experience big price swings in short periods.
Where to buy Crypto Currency?
Platforms that allow individuals (retail investors) to buy and sell digital assets (crypto currency) are called Exchanges. There is a registration process where you enter your personal details and verify with your full ID much like opening a new bank account. Once this process has been completed successfully you will receive notification of your trading account details. The process can take up to two weeks from completion to verification, sometimes sooner depending on the Exchange that you are using and provided that all the necessary information required has been entered. Once you have your account verified you will need to undergo a questionnaire to confirm that you understand fully the risks associated with crypto investments. Once you have passed your risk questionnaire/quiz successfully there will be a 24 hours delay whilst your trading account is being created.
There are many Exchanges available for you to buy and sell your crypto currency such as; Binance, Crypto.com, Revolut to name a few options. This is why doing your own research is imperative. Choosing the right Exchange will determine your user experience in addition some of the questions you will need to ask yourself for example; is the Exchange registered in the UK or overseas? Is the Exchange regulated by the (FCA) Financial Conduct Authority? Are transactions conducted in local or international currency such as the dollar?
These are some of the questions you must ask yourself when choosing the right Exchange for you. For beginners we suggest Revolut simply for the ease of use, transactions are performed in local currency (GBP), same day account opening, it operates using a simple app on your mobile phone device which can be utilised as both your personal bank account and as an crypto exchange all from the same app.
Digital Wallets
There are two types of digital wallets.
A cold wallet is regarded to be more safer way to store your crypto currencies than leaving it on the Exchange platforms. In theory your crypto does not belong to you whilst it remains on the Exchange platforms. If the Exchange were to fail you would lose all your crypto currency. In-order to safeguard your crypto currency there are two options available.
Using a cold wallet is considered to be highly secure form of storage as crypto currencies are taken off the Exchange platforms and stored off-line making it immune from on-line attacks by hackers. Examples of cold storage are; Ledger and Trezor.
A hot wallet on the other hand, crypto currencies are also taken off the Exchange platforms however, the wallet remains accessible via the internet and therefore, remains susceptible to digital theft. On the positive side the wallet allows for frequent transactions such as buying and selling crypto currencies. Examples of hot wallets are Trust Wallet and MetaMask but not without limitations.
Digital Wallets
Cross Border Payments
Cyber Security - Tip 3
Never reveal you private keys or seed phrases to your cold and hot wallets to no-one. Once your crypto is lost it is lost forever and cannot be recovered.
Cyber Security - Tip 4
When buying cold or hot digital wallets buy directly from the manufacturer and never from a third party supplier.
Cyber Security - Tip 5
Avoid all contacts with ‘influencers’ as they are most likely to be from fake accounts, contacting you with view to transferring or disclosing your crypto account secure information.
ISO 20022 Compliance
Useful terms associated with digital currency.
Liquidity - Money entering and leaving the digital exchanges, due to the actions of large and small investors buying and selling digital assets. Highest liquidity pools will determine the market and drive price movements.
Whales - These are individuals who own or hold large amounts of crypto currency and influence the price and liquidity of a crypto currency. The activities of these entities are observed by the crypto community due to their potential to affect the market.
Bulls - To be bullish. Strong indication of upward price movement.
Bears - To be bearish. Expectation of a downward price movement or prediction.
Market Conditions - Positive and negative price fluctuations based on economic cycles and annual business performance results.
Central Government Influence - International trading tariffs, economic uncertainty and geo-political unrest, bank of England interest rates are some factors affecting price movements both in positive and negative directions making digital currency investments volatile.
Market Capital - To calculate market capitalisation, multiply the current price of a single coin or token by the total number of coins in circulation this will determine the total value generated for a crypto currency.
24 Hour Volumes - This is the amount of buying and selling of a crypto currency that takes place over a 24-hour period. The best example of 24 hour volumes and price movement can be seen on CryptoBubbles.net where over 900 digital assets are listed, ranked by price, volume, market capitalisation and it is free to use. This is a great way to keep a track of your crypto currencies without having to log into your Exchange account everyday!
Candle sticks and charts - Visit TradingView.com to monitor and follow live crypto price movements. The charts are free to use.
Rug Pull! - Rug pulls are schemes to artificially inflate the value of an investment through false and misleading claims, to sell cheaply purchased units at higher prices.
Quantum Financial Systems - QFS leverages principles of quantum mechanics, such as quantum entanglement and cryptography, to create a secure and efficient financial ecosystem offering faster transaction speeds, and greater transparency.
Author: F8 Forward Solutions with aid of Chat-GPT4 OpenAI.
Date: 11-05-2025
Edited: 20-05-2025
Cyber Security - Tip 1
Your crypto currency is at risk, keep all your digital devices away from public view and avoid using public WI-FI such as in cafes’, hotels’, bars’ and restaurants’ to log on to crypto exchanges and banking apps.
Cyber Security - Tip 2
Never share or reveal personal information such as credit card numbers, banking information, or passwords.
Please Note: This is NOT financial advice. Chat-GPT OpenAI was used to aid the production of this article. This is purely meant for educational purposes only. In addition to the information provided we strongly encourage you carry out your own research and not to solely rely on the information provided in this article.