Advantages and risks of digital currency

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Date:

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Quick Questions

Shade in the A or B circle for each question.

1. Which is an advantage of digital currency?

A Money can be sent to another person very quickly

B Money can only be sent during bank opening hours

2. A student buys digital currency. Next week its value drops sharply. Which risk is this?

A The wallet was hacked

B The value can change quickly

3. Which statement about hackers is correct?

A Hackers may steal digital currency from a poorly protected wallet

B Digital currency can never be stolen because it is digital

4. A user forgets the password to their digital wallet and has no backup. What is the likely result?

A The bank will reset it and return the money

B They may lose access to their money for good

5. Which is a risk of digital currency when shopping?

A Not every shop accepts it as payment

B Every shop must accept it by law

Match the Pairs

Draw a line connecting each item on the left to its match on the right.

Left column		Right column
1value = 100 * rate		ADigital currency can be transferred quickly to another person, often in minutes
2send(coins, friend)		Bif password == lost: access = False
3A lost password can mean permanent loss of access to the wallet and the coins in it		Cif shop_accepts == False: pay = cash
4Not every shop accepts digital currency, so it cannot always be used to pay		DWrong: the value of digital currency can rise and fall quickly, so there is a risk of losing money.
5Digital currency always keeps the same value, so it has no risk		EThe worth of a digital currency can change quickly because the exchange rate changes
6Hackers cannot steal digital currency because it is digital		FWrong: hackers and scammers can steal digital currency, for example by breaking into a wallet or tricking the owner.

Definitions

Advantages and risks

Fill in the Blanks

Complete each line of code by filling in the missing parts.

IF passwordLost = ____ THEN OUTPUT "Access to wallet lost" ENDIF

IF newPrice _ oldPrice THEN OUTPUT "Value has fallen" ENDIF

IF hackerGotKey = TRUE ____ OUTPUT "Coins stolen" ENDIF

IF shopAcceptsCrypto = FALSE THEN ______ "Use another payment method" ENDIF

IF transferTime < 60 THEN OUTPUT "Fast transfer" _____

Spot the Error

Shade in the letter of the line that contains an error.

Question 1

A sent ← TRUE

B speed ← "fast"

C IF sent = TRUE

D OUTPUT "Arrives in seconds"

E ENDIF

Question 2

A coins ← 2

B oldPrice ← 100

C newPrice ← 60

D loss ← newPrice - oldPrice

E OUTPUT loss

Question 3

A emailSafe ← "FALSE"

B IF emailSafe = FALSE THEN

C OUTPUT "Do not click link"

D ENDIF

Question 4

A password ← "blue77"

B OUTPUT guess

C IF guess <> password THEN

D OUTPUT "Locked out"

E ENDIF

Question 5

A shopTakes FALSE

B IF shopTakes = TRUE THEN

C OUTPUT "Pay with coins"

D ELSE

E OUTPUT "Use cash"

F ENDIF

Answer Key

Advantages and risks of digital currency

Section A: Quick Questions

A — Money can be sent to another person very quickly

B — The value can change quickly

A — Hackers may steal digital currency from a poorly protected wallet

B — They may lose access to their money for good

A — Not every shop accepts it as payment

Section B: Match the Pairs

value = 100 * rate → The worth of a digital currency can change quickly because the exchange rate changes

send(coins, friend) → Digital currency can be transferred quickly to another person, often in minutes

A lost password can mean permanent loss of access to the wallet and the coins in it → if password == lost: access = False

Not every shop accepts digital currency, so it cannot always be used to pay → if shop_accepts == False: pay = cash

Digital currency always keeps the same value, so it has no risk → Wrong: the value of digital currency can rise and fall quickly, so there is a risk of losing money.

Hackers cannot steal digital currency because it is digital → Wrong: hackers and scammers can steal digital currency, for example by breaking into a wallet or tricking the owner.

Section C: Definitions

Advantages and risks — Digital currency is fast and easy to send, but its value can change quickly, hackers can steal it, a lost password loses access, and not every shop accepts it.

Section D: Fill in the Blanks

IF passwordLost = TRUE THEN
   OUTPUT "Access to wallet lost"
ENDIF

IF newPrice < oldPrice THEN
   OUTPUT "Value has fallen"
ENDIF

IF hackerGotKey = TRUE THEN
   OUTPUT "Coins stolen"
ENDIF

IF shopAcceptsCrypto = FALSE THEN
   OUTPUT "Use another payment method"
ENDIF

IF transferTime < 60 THEN
   OUTPUT "Fast transfer"
ENDIF

Section E: Spot the Error

C — An IF statement must end its condition with THEN. The line should be IF sent = TRUE THEN.

D — The value of the coins fell from 100 to 60. The loss is the old price minus the new price (40). Reversing it gives -40, which hides the loss. It should be loss ← oldPrice - newPrice.

A — FALSE is a Boolean value, not a string. Putting it in quotes makes it text, so the test emailSafe = FALSE does not work as intended. It should be emailSafe ← FALSE.

B — The program needs to read the user's password attempt, so it must use INPUT guess. OUTPUT guess would display a variable that has no value yet.

A — The assignment arrow is missing, so the variable is never given a value. It should be shopTakes ← FALSE, showing the shop does not accept digital currency.