Digital currency compared with physical cash

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Quick Questions

Shade in the A or B circle for each question.

1. Which statement describes how digital currency exists?

A Only as electronic records stored on computers

B As coins and notes you can hold

2. Where do you keep digital currency?

A In a purse or wallet in your pocket

B In a digital wallet on a device or online

3. How is digital currency sent to another person?

A By handing coins or notes to them

B Over a network such as the internet

4. What do you need to spend digital currency?

A A device and a network connection

B Nothing, you just hand it over

5. Which is true about cash and digital currency?

A Both can be used to pay for goods

B Only cash can be used to pay for goods

Match the Pairs

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

Left column		Right column
1wallet = 25.50		ADigital currency is sent over a network, so no one has to hand anything over in person.
2send(coins, to_friend, network)		BA purse holds physical coins and notes. Digital currency is stored in a digital wallet, not a purse.
3Digital currency needs a device and an internet connection to be spent, but cash does not.		Cif device and connection: pay(digital)
4Cash is a physical form of money that you hand over, so it is not stored as electronic data.		Dform = "coins and notes"
5purse = digital_currency		EDigital currency is stored as an electronic record in a digital wallet, not as coins or notes in a purse.
6digital_currency.handOver(coins)		FDigital currency cannot be handed over like coins. It is sent over a network as electronic records.

Definitions

digital currency vs cash

Fill in the Blanks

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

form ← "digital" needsDevice ← ____

form ← "cash" needsNetwork ← _____

IF form = "cash" ____ OUTPUT "Hand over coins and notes" ENDIF

IF form _ "digital" THEN OUTPUT "Stored in a digital wallet" ENDIF

IF hasDevice ___ hasConnection THEN OUTPUT "Digital payment can be sent" ENDIF

Spot the Error

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

Question 1

A cashForm ← "coins and notes"

B digiForm ← "electronic data"

C cashStore ← "purse"

D digiStore ← "purse"

Question 2

A IF payType = "digital" THEN

B OUTPUT "send over network"

C OUTPUT "needs no device"

D ENDIF

Question 3

A payType ← "cash"

B needDevice ← FALSE

C needInternet ← TRUE

D OUTPUT payType

Question 4

A payType ← "digital"

B method ← "hand over"

C OUTPUT payType

D OUTPUT method

Question 5

A cashForm ← "electronic data"

B digiForm ← "electronic data"

C OUTPUT cashForm

D OUTPUT digiForm

Answer Key

Digital currency compared with physical cash

Section A: Quick Questions

A — Only as electronic records stored on computers

B — In a digital wallet on a device or online

B — Over a network such as the internet

A — A device and a network connection

A — Both can be used to pay for goods

Section B: Match the Pairs

wallet = 25.50 → Digital currency is stored as an electronic record in a digital wallet, not as coins or notes in a purse.

send(coins, to_friend, network) → Digital currency is sent over a network, so no one has to hand anything over in person.

Digital currency needs a device and an internet connection to be spent, but cash does not. → if device and connection: pay(digital)

Cash is a physical form of money that you hand over, so it is not stored as electronic data. → form = "coins and notes"

purse = digital_currency → A purse holds physical coins and notes. Digital currency is stored in a digital wallet, not a purse.

digital_currency.handOver(coins) → Digital currency cannot be handed over like coins. It is sent over a network as electronic records.

Section C: Definitions

digital currency vs cash — Both pay for goods, but digital currency exists only as electronic records in a wallet, sent over a network with a device and connection, while cash is physical coins and notes handed over.

Section D: Fill in the Blanks

form ← "digital"
needsDevice ← TRUE

form ← "cash"
needsNetwork ← FALSE

IF form = "cash" THEN
   OUTPUT "Hand over coins and notes"
ENDIF

IF form = "digital" THEN
   OUTPUT "Stored in a digital wallet"
ENDIF

IF hasDevice AND hasConnection THEN
   OUTPUT "Digital payment can be sent"
ENDIF

Section E: Spot the Error

D — Digital currency is stored in a digital wallet, not a purse. A purse holds physical cash, so line 4 should be digiStore ← "wallet".

C — Digital currency needs a device such as a phone or computer to send or receive it. Line 3 should output "needs a device".

C — Paying with cash needs no internet connection because coins and notes are handed over in person. Line 3 should be needInternet ← FALSE.

B — Digital currency is sent over a network as electronic records. It is not handed over like cash. Line 2 should be method ← "send by network".

A — Cash is physical, in the form of coins and notes. It is not electronic data. Line 1 should be cashForm ← "coins and notes".