Fintech Slides Intro - Lec 3 (New 2026/
2027 Update) Questions & Answers {Grade
A} 100% Correct (Verified Solutions)
Hyperinflation - Correct answer Hyperinflation is caused by excessive money supply
growth:
When the central bank prints money, the price level rises.
If it prints money rapidly enough, the result is hyperinflation.
Bitcoin - Correct answer Bitcoin can serve as a medium of exchange and a unit of
account.
Yet it is arguable whether Bitcoin is exactly a stable store of value. It is technically
equipped to do the job: coins saved in an encrypted wallet on a hard drive can be
retrieved for later use in purchases. But the currency's worth is prone to wild
gyrations.
,Background of Crypto Currency - Correct answer Bitcoin is the first implementation of
a concept called "cryptocurrency", an idea of a new form of money that uses
cryptography to control its creation and transactions, rather than a central authority.
Bitcoin - Correct answer On October 31 of 2008, a person or a group named 'Satoshi
Nakamoto' released a white paper called "Bitcoin: A Peer-to-Peer Electronic Cash
System."
Purposes:
A new currency with limited supply
Secure transactions
Protection against double-spending
Anybody can be a "merchant" or a "customer".
Pseudo-anonymity
,The Development of Bitcoin - Correct answer 2009: Bitcoin announced by Satoshi
Nakamoto - Pseudonym for person or group of person
2009-2011: slow start...
2011-2013: Silk Road and Dread
Pirate Roberts 2013--: Bitcoin price skyrockets - and the world notices!
Bitcoin - Correct answer A peer-to-peer internet currency that allows decentralized
(verification) transfers of value between individuals and businesses.
Bitcoin is the system
bitcoins are the units
In economic terms
- A global currency
- An international clearing system
- A payment system/network
, Bitcoin System - Correct answer Documentation: Ledger
Clearing Transactions: Block Chain
Clearing House: Miners
Currency of Transaction: BitCoin
Currency: BitCoin
Form of Transaction: P2P + Anonymous
Elements of Bitcoin - Correct answer Individuals
Wallet (accounts)
Identity is anonymous
Private Key • Public Key
Transactions
2027 Update) Questions & Answers {Grade
A} 100% Correct (Verified Solutions)
Hyperinflation - Correct answer Hyperinflation is caused by excessive money supply
growth:
When the central bank prints money, the price level rises.
If it prints money rapidly enough, the result is hyperinflation.
Bitcoin - Correct answer Bitcoin can serve as a medium of exchange and a unit of
account.
Yet it is arguable whether Bitcoin is exactly a stable store of value. It is technically
equipped to do the job: coins saved in an encrypted wallet on a hard drive can be
retrieved for later use in purchases. But the currency's worth is prone to wild
gyrations.
,Background of Crypto Currency - Correct answer Bitcoin is the first implementation of
a concept called "cryptocurrency", an idea of a new form of money that uses
cryptography to control its creation and transactions, rather than a central authority.
Bitcoin - Correct answer On October 31 of 2008, a person or a group named 'Satoshi
Nakamoto' released a white paper called "Bitcoin: A Peer-to-Peer Electronic Cash
System."
Purposes:
A new currency with limited supply
Secure transactions
Protection against double-spending
Anybody can be a "merchant" or a "customer".
Pseudo-anonymity
,The Development of Bitcoin - Correct answer 2009: Bitcoin announced by Satoshi
Nakamoto - Pseudonym for person or group of person
2009-2011: slow start...
2011-2013: Silk Road and Dread
Pirate Roberts 2013--: Bitcoin price skyrockets - and the world notices!
Bitcoin - Correct answer A peer-to-peer internet currency that allows decentralized
(verification) transfers of value between individuals and businesses.
Bitcoin is the system
bitcoins are the units
In economic terms
- A global currency
- An international clearing system
- A payment system/network
, Bitcoin System - Correct answer Documentation: Ledger
Clearing Transactions: Block Chain
Clearing House: Miners
Currency of Transaction: BitCoin
Currency: BitCoin
Form of Transaction: P2P + Anonymous
Elements of Bitcoin - Correct answer Individuals
Wallet (accounts)
Identity is anonymous
Private Key • Public Key
Transactions
