The financial industry has seen significant growth within its digital sector due to the adaptation required during Covid-19. With the increased interest in digital payments has come the rise of virtual cards.

Shopping online and online purchases continue to break barriers that traditional financial institutions never predicted. While these institutions do allow users to do online shopping, there are still a lot of limitations and risks to be wary of. 

Every time you shop online, you risk your account number and details being stolen and used against you. Credit card companies have had to evolve, and one way they have done that is through the introduction of an actual account-linked virtual card.

How do virtual credit cards and debit cards work?

Virtual cards are stored on your mobile device and can be used to make contactless payments in store or online. A virtual card has its own unique card number, CVC, and expiration date. These virtual cards are simply a copy of your physical card, linked to your bank account, and stored on your application or phone. Think of it as an online account and card.

Virtual cards are very similar to an actual credit or debit card, with the main difference being that they only exist digitally, and can not be used to withdraw physical cash. Virtual credit cards provide the same features and mechanics as traditional credit and debit cards. 

A virtual credit card still has an expiry date and 16-digit account number, and CVV codes. They are connected to payment networks like Visa and Mastercard and are generally accepted by merchants who use physical card machines, similar to Apple and Google Pay. 

Your virtual card information and virtual credit card number are stored digitally, eliminating the risk of someone stealing your card and simply entering your details when shopping online. 

Virtual credit cards act as digital wallets, providing more advanced security and ease of online access. Virtual cards are created for one-time use or act as a temporary account number, but what are the benefits of a limited-use virtual card number? Let’s get into it.

Benefits of a virtual credit card

The first and foremost virtual credit card feature benefit that you can expect is an enhanced layer of security. To combat fraudulent activity, a data breach, and account information being stolen, virtual cards have randomly generated and disposable card numbers. This makes virtual cards one of the safest payment methods, eliminating physical and confirmed details, meaning your temporary information can not be stolen or lost. If your info is compromised, you can cancel it without having to create a new bank account or waiting for a new card in the mail.

Control and customization is an additional layer of benefits users can expect from using virtual credit cards. Users can customize how many virtual account numbers they want, set spending limits, choose their preferred currencies, and more. Similar to a normal debit card account, you can also create recurring payments with merchant details, as tailored to the amount, time, and so on.

Some virtual credit cards provide users with point-earning rewards or store credit when used. Credit card companies can also easily access your information to improve your credit score based on your recurring payments set up. 

Creating multiple virtual debit cards allows you to distribute, allocate, and track funds with ease. This means at the end of the day, you have more visibility of your funds going in and out and can create a dedicated virtual debit card for a specific area of your financial responsibilities.

Getting your virtual card number

Whether you are trying to manage your funds with your debit or credit cards accounts, a virtual card can make matters easier. All you need is a debit or credit card account, such as the one offered by Tap and you can create your unique virtual card at the click of a button. With some traditional banks you can even create multiple cards if you want, each with its own unique account number and expiration date. 

These digital wallets and accounts provide ease when you want to shop online, avoid physical wallet and card theft, as well as easier fund management. A virtual debit card is a big part of the future, as we move into the digital era.

Experience a whole new world of digital payments and money management from the safety of your mobile device. You should be able to use your virtual card at any merchant that accepts debit and credit card payments, or contactless transactions, such as Apple Pay or Google Pay. Create your virtual account number today and enjoy purchases online and in-store. The future of payments is here.

In recent years, cryptocurrency, and therefore cryptocurrency exchanges, have firmly established themselves in the global financial market. As they become increasingly popular, many concerns have been raised over the regulation of these entities, and how they are preventing illicit monetary activity from taking place. 

In an attempt to crack down on funds being illegally moved, exchanges are required to implement KYC (Know Your Customer) and AML (anti-money laundering) policies. Regulatory bodies are working to build legal frameworks for the industry, in an attempt to fight crime conducted using blockchain technology. 

The biggest challenge for these regulatory bodies is to find a solution that doesn't hamper the innovative qualities of cryptocurrencies. 

In the UK there is the Financial Conduct Authority, a financial regulatory body that operates outside of the UK government. In 2020, the FCA required every company participating in any crypto activity in the sector to comply with its Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 policy (the 'MLR's). This obligation requires crypto service providers to complete the necessary registration and infrastructural requirements.

What is AML in crypto?

AML stands for anti-money laundering and involves protocols that ensure that every transaction can be tied to an identity, thus providing greater transparency. This ensures that if any suspicious activity is flagged, the origins and/or destination of the funds can be confirmed on the platform.

Due to the anonymous, or more accurately pseudonymous, nature of cryptocurrencies, many believe that it provides an easy opportunity for ill actors to engage in money laundering. Money laundering is the act of changing large amounts of illicit income into a legitimate avenue, the money is "laundered" so as to appear clean.

While cryptocurrencies seemingly provide a perfect platform for money laundering due to the lack of central authority or third parties, AML processes are implemented on exchanges to stop this activity in its tracks. 

What are the risks hindering AML practices?

The first risk that challenges AML practices is privacy coins, cryptocurrencies designed to conceal transactions and the relevant information attached to them. Platforms like Monero offer users the opportunity to send funds with no record of the transaction taking place. 

The data associated with the transactions like the sender, receiver and amount sent are encrypted and often broken up when stored on the blockchain to ensure they are untraceable. 

The second risk is coin join platforms that mix cryptocurrency transactions, hiding the origin and destination of the funds. These platforms essentially provide a service that can make ordinary cryptocurrencies anonymous. 

While cryptocurrencies have their benefits, there are a number of challenges they pose to regulatory bodies, AML and CFT (Combating the Financing of Terrorism) intentions:

• The anonymity they can provide
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• Opportunity for gaps when transacting cross-border transactions
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• Absence of one central authority to ensure compliance
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• The limited scope of identity verification processes

Differentiating between illicit activity and investors just wanting to safeguard their investments is a tricky business. Bad actors might make use of paper wallets to hide funds and keep them secret, while an investor might make use of a paper wallet in order to protect their funds against theft. 

AML in crypto exchanges

Despite the challenges it faces, AML has proven to be valuable in cracking down on illegal activity conducted on crypto exchanges. 

In July, $1.45 billion worth of illegal cross-border crypto transactions were traced back to 33 individuals on the South Korean exchange, Bithump. The platform quickly banned all foreign transactions, requiring a mobile KYC verification, and increased the KYC requirements so as to align with the country's AML regulations. 

Bitcoin ATMs, a notorious option for mixing funds, have come together to form the Cryptocurrency Compliance Cooperative (CCC). This operation calls for cash-based cryptocurrency services, financial institutions, and regulators to participate in building universal compliance factors. 

Does AML help or hinder the crypto market?

While AML tends to go against the decentralized nature of cryptocurrencies, the crypto community actively welcomes these regulatory efforts as it drives more trust and interest in the market on top of innovation and adoption. For example, an institution or retail investor is more likely to invest in a regulated asset than in a lawless, anything-goes market. 

Anyone that has been watching the markets closely for the last several months will have noticed a definite chill in the air (not to mention a decline in their money). As the bears become more prominent, weak hands are losing faith and exiting the market. Why are we talking about a cryptocurrency winter now? Before we firmly declare this to be a crypto winter, let's explore the recent dips of the digital asset market and what previous crypto winters have detailed. 

What is a cryptocurrency winter?

A cryptocurrency winter is a term used in the crypto market to describe a long term bear market. A bear market is classified as a declining market where shares have fallen below 20%. Investors typically call it a crypto winter when the markets have struggled to reclaim highs previously witnessed (usually right before the winter set in). Does that mean cryptocurrency investors should take out their snow shoes? Metaphorically, yes. And by snow shoes we mean thick skin and strong hands.

The recent market climate (five month period).

Since reaching its most recent all-time high, Bitcoin has dropped over 40%. After reaching highs of $68,789.63 in November 2021, Bitcoin has gone through a red-tainted slump reaching lows of $33,710 in late January and since recovering to just under the $40,000 mark. 

Ethereum, the second-biggest cryptocurrency, has experienced a similar fate, dropping from highs of $4,891 in November 2021 to lows of $2,211 in late January. Ethereum has since corrected to the $2,800 region as it generates interest in its move to a Proof-of-Stake consensus. 

It's no secret that the stock markets have suffered a similar fate in recent months, with seemingly only gold remaining unscathed. Experts have suggested in various articles that the uncertainty in global politics is playing a considerable role in the decline of various markets and businesses.

Buterin confirms a crypto winter

As touched on above, the current ongoing war between Russia & Ukraine has played a large role in driving investors' uncertainty as prices bounce through the highly volatile period. While we've seen an increase in trading volume, there have also been strong price swings.

This paired with the declining prices has led to a downfall in companies and traders entering the market, further fuelling the problem. This has become known in the industry as a crypto winter. 

Ethereum founder, Vitalik Buterin, recently confirmed the case, although he also highlighted the positives, particularly for those on the development side. He pointed out that crypto winters offer a period of rejuvenation for the industry, allowing unsustainable projects to fall away. 

"They welcome the bear market because when there are these long periods of prices moving up by huge amounts as it does - it does obviously make a lot of people happy - but it does also tend to invite a lot of very short-term speculative attention."

He added that it encompasses a "time when a lot of those applications fall away and you can see which projects are actually long-term sustainable, like both in their models and in their teams and their people." If one factors the development side of things in, we can bank on the industry coming out stronger after this period.

Unwrapping the previous crypto winter

The last crypto winter we experienced took place in 2018 after the highs of December 2017 (when Bitcoin almost reached $20,000). This bear market continued until mid-2019 before it started showing signs of recovery. It wasn't until Bitcoin defied the odds in 2020 and overcame the pandemic that it soared to higher heights, almost triple that of the previous all-time high. 

While losing 40% of its value this season sounds rough, the previous crypto winter saw losses of 84%. As cryptocurrencies further emerge themselves into the mainstream financial markets, many believe it is only a matter of time before the prices enter the green again. Time also tends to play a regulator role when it comes to changing crypto seasons. 

Bitcoin's four year cycle theory

There is a growing belief in the industry that Bitcoin has a definitive four-year cycle of prices rising and falling. This aligns with the halving mechanism which takes effect every 210,000 blocks, or roughly every four years. 

The halving, the last of which took place in May 2020, halves the rewards given to miners for verifying transactions and effectively halves the number of new coins entering circulation. History has shown that a bull run succeeds these events, roughly twelve to eighteen months later. 

Surviving the chill

While many can agree that the crypto winter is upon us, there is no saying how long it might last, or how low it may go. Analysts suggest that traders use the time to sharpen their investment strategies and implement plans of action that keep risk to a minimum. As blockchain and cryptocurrencies have already passed a significant milestone in their adoption, there is no stopping it now. For any traders concerned over the crypto winter, fear not. It will pass. 

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It's 2024 and you've decided to get involved in the crypto industry and find out what the fuss is all about. You've made a smart choice, and we're pleased to welcome you. In this step-by-step guide, we'll be showing you a simple overview of how to complete the following:

• Create an account
• Deposit funds
• Buy Bitcoin, Ethereum or any other cryptocurrency
• Sell a cryptocurrency
• Withdrawal funds

Investing in digital currencies can feel daunting at first, but once you've made your first purchase, transaction, or sale, you'll see that using cryptocurrencies is simpler than expected. Be sure to keep an eye on market prices, as volatility in the crypto industry can go through waves, and educate yourself on the coins that you wish to purchase. Whether you're a trader/investor in the UK, EU, EEA, or USA, everyone can gain access to the crypto markets through the Tap mobile app.

In this article, we're going to show you the ropes, guide you through the process and explain step-by-step how to gain the skills to successfully operate in the crypto space and increase your investment portfolio. No previous trading experience is necessary (stocks or crypto).

Step 1: create an account

The first and most important decision to make before buying cryptocurrencies is determining where to buy them from. With plenty of options available on the market and plenty more news stories about them, it's imperative that you select a trustworthy and reliable source.

The Tap mobile app ticks these boxes and proves so by being licensed and regulated by the Gibraltar Financial Services Commission. The platform has over 300,000 registered users, at the time of writing, operates in 28 countries across the globe, and has been nominated multiple times for PAY360 Awards (previously the Emerging Payments Awards). 

To create an account on Tap, simply follow these steps:

• Download the Tap mobile app from either the Apple or Google Play store.
• Create an account by filling in the relevant information. If you make a mistake, simply go back and alter it before moving to the next step.
• Once the account is set up you will be asked to complete the KYC / identity verification process. Simply follow the onscreen prompts and submit the required information. 
• You will receive an email confirmation once your account is all set up. 

Step 2: deposit funds

In order to buy cryptocurrency through the Tap app, you will need to deposit funds. This can be done in both crypto and fiat currencies, however, we will focus on the fiat deposits today. 

• Select the Cash option in the top horizontal menu.
• Select the fiat currency you would like to deposit, your options are US dollars, Pound Sterling, or Euros. 
• We're selecting GBP, then select one of the options: deposit or debit card top-up. 
• Fill in the relevant information and perform the transaction. 
• Once the funds have cleared they will appear in the relevant Cash wallet. 

Step 3: Buy Bitcoin, Ethereum, or any other cryptocurrency

Now for the exciting part! It's time to buy digital currency. For the sake of this tutorial, we're going to show you how to buy Bitcoin, however, the process is consistent across all cryptocurrencies. 

• In the top horizontal menu, select Cryptocurrencies.
• Choose the cryptocurrency you would like to purchase. 
• Once in the crypto wallet, select the blue Buy button. 
• You'll be given the option to decide how to pay, simply scroll to the bottom and select Pound Sterling (or the crypto or fiat currency that you deposited).
• Enter the amount that you would like to purchase.
• Select the Execute Trade button.
• Once the transaction is completed, the funds will appear in your Bitcoin wallet. 

Step 4: Sell A Cryptocurrency

Now that you're familiar with how to buy crypto, it's high time you learned how to sell. 

• To sell Bitcoin (or any other cryptocurrency), go to the relevant wallet in the Crypto section.
• Select the blue Sell button. 
• From here you can decide whether you'd like to sell the cryptocurrency for another cryptocurrency or for a fiat currency. In this example, we'll sell BTC for GBP. 
• Select the Pound Sterling option and enter the amount of BTC you'd like to sell.
• Proceed with the Execute Trade button.
• The funds will then be available in your Cash GBP wallet.

Step 5: Withdrawal Funds

Completing the final process in this step-by-step guide, we're going to explain how to withdraw funds. You have several options here as the Tap app allows users to withdraw funds directly into their bank account, instantly send funds to other Tap users, or withdraw cryptocurrencies.

• In the top horizontal menu, select Cash.
• Choose the Withdraw button, located underneath your balance. 
• Select the option most preferable to you: Instant, to a Tap user; bank transfer; Crypto withdrawal. 
• Follow the relevant instructions and select Execute Trade once complete. 

Tap into a brighter future with crypto

On top of the simple and easy-to-use app, Tap also offers highly secure wallet solutions that are integrated into your account from the get-go. With Tap, you can securely store and manage a wide range of cryptocurrencies from one convenient location, and even more easily spend them using the Tap card.

Bitcoin 101

Here are several frequently asked questions regarding Bitcoin, the first cryptocurrency to come into existence.

Many investors have made a lot of money through the stock markets, however, in recent years a new asset class has entered the scene. Not just any asset class, the best performing asset in the last decade. While conservative investors have steered clear, many investors have incorporated cryptocurrencies into their investment portfolios. 

In this article, we explore the differences between crypto vs stocks. While investments are driven by profits, understanding the difference between the two and what each one is is arguably fundamental to making any money from them. 

What Are Stocks? 

Stock, also referred to as equity or shares, is a financial product sold by companies that offer a percentage of ownership in the company. These "certificates of ownership" entitle the holder to dividends from the company's market performance. 

Stock in a company holds equal risk and reward. Should the company have a bad year, the stock price will reflect this with a decline in the unit price, but should it perform very well the price will increase. The profits are shared through a simple transaction.

These financial products are legally considered securities and are used by businesses or governments to raise capital from the market, offering the holder part ownership in the company selling the stock. Stocks are traded on authorised stock exchanges, of which there are over 60 around the world. The most popular are NASDAQ and the New York Stock Exchange (NYSE) which manage the sales of stocks relevant to that platform.

What Are Cryptocurrencies?

Cryptocurrencies are digital assets native to blockchain platforms. The first cryptocurrency launched in 2009 and provided an alternative cash system that allowed users to transact and store their funds without the authorisation of a third party. As a solution to the global financial crisis plaguing the world at the time, Bitcoin offered a decentralized solution to people taking control of their own money.

Following the launch of development-focused Ethereum several years later, cryptocurrencies started to offer solutions beyond just payment platforms. There are over 20,000 cryptocurrencies on the market today, ranging from utility tokens to governance tokens to meme tokens. 

Cryptocurrencies are defined as using blockchain technology to facilitate and maintain the network. Blockchain ensures that all transactions are recorded in a public ledger for anyone to see and are immutable. They also use cryptography to ensure the security of the network established through an elaborate means of information.

Cryptocurrencies can be traded on the following platforms, each incurring its own fees:

• peer-to-peer exchanges, where cryptocurrencies are directly traded between two users
• Decentralized exchanges, largely unregulated exchanges where there is no central authority 
• Centralized exchanges, operated as a business with an entity in charge and managing operations as well as regulatory obligations

Cryptocurrencies are largely considered to be "digital commodities" around the world, however, most countries are in the process of building a legal framework to better identify and regulate the new asset class. 

Due to their incredible growth and price gains over the last decade, cryptocurrencies have become a widely popular investment vehicle for both retail and institutional investors. 

Do You Have to Pay Taxes on Cryptocurrency?

As is the case with profits gained from any investment, individuals are required to pay taxes on their crypto earnings. While this remains largely unregulated, most countries have created a legal framework that requires users to pay on any profits made. These levies are then paid to the government and contribute to the functioning of the country. The onus lies on the individual to establish what these laws are and adhere to them.

What Are The Difference Between Crypto vs Stocks

Below we flesh out the differences between these two financial products to build a better understanding of the two. We'll be looking at:

Ownership 

Arguably the biggest difference between crypto and stocks is the ownership rights. Stock provides the holder with ownership rights vehicle cryptocurrency typically doesn't (in the traditional financial ownership sense at least). 

Cryptocurrencies are designed in such a way that their decentralized nature ensures that no one owns the network. Some cryptocurrencies provide governance rights that allow the holders to vote on network changes and have a say in the development of the project. 

Risk vs reward 

The cryptocurrency market is renowned for being more volatile providing considerably higher risks and rewards when compared to the stock markets. 

In a 5 year comparison, at the time of writing, NASDAQ has seen 167% growth while Bitcoin has seen 3,574% growth. 

Liquidity

Stock markets typically hold more liquidity as most stocks can be traded across exchanges and quickly converted to cash. Cryptocurrencies, particularly the smaller capped coins, hold less liquidity, although the bigger ones like Bitcoin and Ethereum can easily be traded on most exchanges. Bigger crypto exchanges have more liquidity due to the higher trade volumes on the platform. 

Regulation

Another big difference between crypto and stocks is the regulation aspect. While all stock exchanges have at least one government entity regulating all activity on the platforms, cryptocurrency is largely unregulated around the world.

Regulation in the crypto space is a developing topic as many countries are working to legally define the asset and implement it into their financial system. Having said that, most centralized exchanges are regulated, complying with laws in the countries in which they operate. For safe crypto trading ensure the platform you're using is regulated.

Investment Reasons

While both stocks and cryptocurrencies are largely invested in for profit-seeking reasons, the alternative motivators vary substantially. Some investors also invest in stocks due to the initiatives that the company supports. 

Cryptocurrencies on the other hand offer several more alternative investment motivators, including:

• Getting involved in the blockchain and dapp space
• Making use of its decentralized nature and lack of centralized authority
• Exploring a more discreet means of transacting and storing value
• Supporting an innovative product that offers a high-impact solution

In Conclusion

Stocks are a more popular and regulated investment vehicle while cryptocurrencies offer a higher risk vs reward opportunity. While stocks are considered securities are largely regulated, cryptocurrencies offer higher use case potential and have proven to have higher ROIs.

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Cryptocurrency and blockchain technology are not the easiest topics to understand, especially with fast and ever-growing industries forming beneath them. Even if you have a grasp on the core details, there is still a lot of external factors that come into play. While Bitcoin and other cryptocurrencies hold undeniable value, external factors still hold considerable influence and can affect the financial value of these assets.

When it comes to trading cryptocurrencies, having an understanding of the market can prove incredibly useful, while having an understanding of crypto fundamental analysis can prove to be invaluable for traders, investors, and those curious about sentiment. In order to understand why crypto fundamental analysis is so important, we need to understand what it is.

What is fundamental analysis?

Fundamental analysis can be understood as methods to evaluate the core metrics and proposition of an asset, in this case the world of digital money, cryptocurrencies. Fundamental analysis is more than looking at the price of a cryptocurrency, but rather delving deeper into the external factors that could impact the product, such as macro and micro factors.

Fundamental analysis is about looking at all the available data of a financial asset. This can include countries' sentiment towards the currency, how many people are using the digital cash every day, or even the team behind the project.

The process of fundamental analysis can be started by taking a wider outlook before narrowing it down and focusing on smaller details. You would start by evaluating the projects' market cap and how healthy the ecosystem is in terms of daily buy-in or sales data. You could then look at the projects' marketing approach, the team, and what the public has to say about the token, for an example of strategy.

To put it simply, looking at what the media is saying about Bitcoin would be an in-depth outlook, whereas just looking at the price would be considered more of a broad approach, all these factors work together to create fundamental analysis.

There are three metric areas of analysis that investors generally look at, so let's take a deeper look at those fundamentals.

Fundamental analysis metrics

These are a few of the most common metrics investors look out for, although there are definitely more things to keep in mind. At the basics of fundamental analysis, it is just doing your own research and seeing if a project aligns with what you are looking for, whether that be long-term or short-term.

The three main metrics that people evaluate are on-chain metrics, project metrics, and financial metrics. There are some things within those metrics to be considered:

On-chain Metrics

• Transaction Count
• Active Addresses
• Fees
• Hash Rate

Financial Metrics

• Market Cap
• Liquidity
• Token Supply

Project Metrics

• Whitepaper
• Tokenomics
• Competitors
• Team

These metrics will help you vet projects you potentially want to invest in or trade. Let's take a look at an example from each one. Starting with project metrics, looking at the team behind a project often shows whether they have the experience or commitment to see a project through to success. When it comes to financial metrics, understanding the token supply and the potential it has on the market cap in the future can be greatly rewarding.

Finally, for on-chain metrics, finding out how many active addresses there are within that blockchain can pinpoint whether this chain has a flourishing and healthy ecosystem for buyers and sellers. All points should be taken into consideration to verify your fundamental analysis.

Crypto fundamental analysis Q+A

After covering what fundamental analysis is, how it affects cryptocurrency investing, and what metrics to consider, let's look at some of the frequently asked questions. These are the most commonly asked questions when it comes to cryptocurrency fundamental analysis.

Is there fundamental analysis in crypto?

Yes, as outlined by this article. Fundamental analysis in crypto is very similar to that of more traditional financial assets, just with a few different metrics in place.

How do you analyse crypto?

As already stated, there are three main metrics investors and traders look at: projects metrics, financial metrics, and on-chain metrics. There are more metrics to be considered, but these have been proven to be the most helpful.

What fundamentals affect Bitcoin?

Bitcoin doesn't have much of a focus on project metrics, as it lacks a team and tokenomics for the future. The metrics relating to market cap, token supply, transaction count, active addresses, and fees are still very much important to look at.

Is fundamental or technical analysis better?

That depends on what your goal is, without going into too much detail about technical analysis, most prefer it for short-term reasoning whereas fundamental analysis can be used for short-term and long-term reasoning, although it is much better for the long term.

Does fundamental analysis work?

Yes, it most certainly does when done properly. It's basically just in-depth research of a project to see whether it has the potential to succeed or fail.

Crypto fundamental analysis conclusion

And now you know. These are the basics of fundamental analysis when it comes to cryptocurrency, as vague as they may seem, these are the markers to consider when vetting a project you want to put funds into. Sadly we can not help you vet every project you come across, but we hope this guide will assist you in more confidently doing the analysis yourself.

Every project is different, from its founding date to the project economics, but the above information should help you get a rough idea of whether it is a project you are interested in. In crypto, it always comes down to "DYOR", or do your own research, and crypto fundamental analysis is no different. Good luck and happy fundamental analysing.