Preview Activity (I) Fluentize, LLC. Copyright 2019. For use only with license.

What is Bitcoin and How Does it Work (B1 - B2)

Work with a partner or group. Do the activities below about Bitcoin.

PART I Which missing letters fit the blanks to define Bitcoin?

Bitcoin is a.... D L
i g i t a

C Y
u r r e n c

Discuss the questions below...

• Do you use or have any Bitcoins? Explain what you know about Bitcoin. Have you seen,
• Do you know what crypto means? read, or heard any interesting information about it?

PART II What do you think are 2 popular searches or questions on Google about Bitcoin?

EXAMPLE How does Bitcoin work?

1
How can we buy Bitcoins?

Is Bitcoin legal in our countries?

2

PART III How much do you know about Bitcoin? Mark if you think each sentence is fact or fiction.

1 FACT FICTION The identity of the Bitcoin creator(s) remains a mystery today.

2 FACT FICTION Once you pay Bitcoin, you cannot reverse the transaction.
3 FACT FICTION It’s impossible to use Bitcoin for illegal purposes.
4 FACT FICTION There is an unlimited number of Bitcoins in circulation.

PART IV Who would answer each question the best? PROFESSION QUESTION (#)
(1) Can someone hack my digital Bitcoin account? 1,3,5,6
(2) How much money should I invest in Bitcoin?
(3) What kind of hardware should I buy for Bitcoin mining? IT Specialist
(4) Is Bitcoin legal to accept as a business owner?
(5) Do I need some kind of software to use Bitcoin? 2,4,5,7,8
(6) Which programming language was Bitcoin written in? Financial
(7) What is the value of one Bitcoin? Advisor
(8) How do I correctly file my taxes if I accept Bitcoin?

PART V Read each word aloud. You teacher will correct your pronunciation.

1 “several” 2 “decentralized” 3 “flourish” 4 “prerequisite”

Preview Activity (II) Fluentize, LLC. Copyright 2019. For use only with license.
What is Bitcoin and How Does it Work (B1 - B2)

PART I Write your own definitions of the vocabulary below based on the context examples.

1 The bank denied the payment several times. I’ll call the bank and see what’s going on.

several (adj.):
A few (varias, unas cuantas)

2 The economy is flourishing. The unemployment rate is low and salaries are increasing.
grow, prosper
flourish (v.):

3 The bank will ask you a few security questions to verify your identity.
check, confirm
verify (v.):

PART II Multiple Choice: Choose the correct meaning for each term below.

1 My bank charges me a small fee to withdraw cash from the ATM.

A fee is... a. a reward for being a customer

b. a penalty for a late payment
c. a cost for a service
2 One typical prerequisite for buying a home in the USA is good credit with the bank.

A prerequisite is... a. something required as a prior condition

b. a monthly payment you make for your home
c. money the bank gives you to buy something

3 I was rewarded a special holiday package by my company for making the most sales.

To be rewarded means... a. given a gift

b. given advice
c. given a penalty
4 Modern technology is making business become more decentralized.

Decentralized means... a. with the help of the government

b. without a central authority, location, or control
c. with a team of financial advisors

s
Bonu
Term Bitcoin mining (n.) a mathematical process of
finding new Bitcoins. Bitcoin maintains a public
ledger that shows past transactions, and mining
is the process of adding new transactions to
this ledger. Unlike normal money, Bitcoin is not
printed. Instead you need processors to mine it.
What Is Bitcoin & How Does It Work? Fluentize, LLC. Copyright 2019. For use only with license.
What is Bitcoin and How Does it Work (B1 - B2)

Preview Discussion Questions

Who do you think might be against the use of

Bitcoin? Why?

Can you think of any dangers / disadvantages

there may be to using Bitcoin? Why?
Viewing Activity

PART I Write short answers to the questions below.

0:01
1 What is Bitcoin and how does it work? Bitcoin is the first decentralized digital currency that you
0:27 can transfer directly through the internet

your account cannot be frozen and there aren't

0:17 2 What are the advantages of using Bitcoin? prerequisites or arbitrary limits

Is open source so that anyone can review the code

1:04 3 What do they say about the Bitcoin software?
Everyone has acess to a global market like the same way
1:08 4 How is Bitcoin changing finance and business? than the web

PART II Choose the correct word(s) which were used in the video.

0:17 1 With Bitcoin, the fees are much lower / higher than normal transactions.
0:19 2 You can use Bitcoins in every shop / country .
0:46 3 Miners make sure that transactions are secret / secure .
0:39 4 Sending Bitcoins is as easy as sending an SMS message / an email .
1:08 5 Bitcoin is changing finance / publishing .

PART III Match the words on the right with the sentences on the left..

0:11 1 Bitcoins are transferred from a. rewarded

person to person.

0:21 2 Your Bitcoin account cannot be frozen . b. recorded

0:34 3 Bitcoins are kept in your

digital wallet. c. transferred

0:48 4 Miners are rewarded new Bitcoins

d. frozen
for securing transactions.
0:54 5 Bitcoin transactions are recorded on
e. kept
a public ledger.
 Post-Viewing Activity (I) Fluentize, LLC. Copyright 2019. For use only with license.
What is Bitcoin and How Does it Work (B1 - B2)

PART I Vocabulary: Put the terms in the box in the context below. *One term isn’t used.

several verify decentralized miners

flourish rewarded fees prerequisites

Bitcoin is the first (1) decentralized digital currency.

Bitcoin payments are made from person to person without going through banks or clearing-
houses which means that (2) fees are much lower. There also are no (3)
prerequisites
for making payments.

There are (4) several different types of currency exchanges that exist.

The Bitcoin network is secured by individuals called (5) miners who are (6)
new Bitcoins when they (7) transactions.

PART II Grammar: Study how to use as + (adjective) + as below.

In the video, the speaker says... Sending Bitcoins is as simple as sending an email.

* We use as + (adjective) + as to compare two things and show the similarity between them.

* If we want to highlight the difference between them, we negate the verb in the sentence.

EXAMPLE Sending Bitcoins is not as simple as sending an email.

(= Sending Bitcoins is harder than sending an email.)

* The first as goes after the verb and before the adjective. The second as goes after the adjective and
before the next noun or pronoun in comparison.

* We do not always use the verb be. It can be a different verb. If it’s a different verb, we use an
adverb between as...as. We often use the quantifier ‘much / many (+ noun)’ between as...as.

EXAMPLE I don’t spend as much money as you. / I don’t have as many Bitcoins as you.

For each sentence, fill in the spaces using a verb + as...as.

1 Bitcoins are not as stable as other currencies. Bitcoin’s value changes often.
2 Other digital currencies are not as popular as Bitcoin. Bitcoin is the most popular.
3 No digital currency are not as expensive as Bitcoin. Bitcoin is the most expensive.
4 My bank fees are high, but they are not as high/expensive as other banks.
5 Normal currency is as easy/simple as Bitcoin. I don’t understand Bitcoin!
6 My friend is a cryptocurrency expert. Nobody is as good as him.
7 I bought some Bitcoins, but I didn’t buy as much as my friend.
 Post-Viewing Activity (II) Fluentize, LLC. Copyright 2019. For use only with license.
What is Bitcoin and How Does it Work (B1 - B2)

Study how to use the passive voice below.

In the video, the speaker says...

“The Bitcoin network is secured by individuals called Miners.”

“Your account cannot be frozen [by banks].”

* We use the active tense to describe the action of the subject, or what the subject does.

ACTIVE: Banks cannot freeze your account.

Miners secure the Bitcoin network.
* We use the passive tense to describe what happens to the subject:

PASSIVE: Your account cannot be frozen [by banks].

The Bitcoin network is secured by miners.
* We use the passive tense when it is not important or necessary to know who or what does the
action. If we want to express who or what does the action, we use the preposition “by”.

* The passive tense in the present simple uses the verb be (be / am / is / are / etc.) + 3rd form of
the verb (frozen / taken / known)
EXAMPLE Bitcoins are sent through the internet [by people.]
EXAMPLE Bitcoin is used by many businesses.
* We can use a modal verb (can / should / have to / must / etc.) + be + 3rd form of the verb
(frozen / taken / known).
EXAMPLE Normal currency must be controlled by the state.
EXAMPLE Bitcoins can be used by anyone.

EXERCISE I Convert each sentence from the active to the passive tense. Use the present simple
or a modal verb. A few sentences by... isn’t necessary.

ACTIVE VOICE PASSIVE VOICE

1 You should spend your Bitcoins wisely. Your Bitcoins should be spent wisely.
2 Police often cannot catch Bitcoin thieves. Bitcoin thieves often cannot be caucht (by police)

3 Users keep Bitcoins in a digital wallet. Bitcoins are kept in a digital wallet

4 Nobody knows the real identity of the Bitcoin founder. the true identity of the founder of Bitcoin is not
known (by anyone)
5 People sometimes steal Bitcoins. Bitcoines are sometimes stolen (by people)

6 Could the government shut down Bitcoin someday? Could the bitcoin be shut down (by the goverment)
someday?
7 The media gives a lot of attention to Bitcoin. Bitcoin have a lot of attention of the media

8 Anyone can see transactions on the public ledger. Public ledger show the transactions to anyone

9 You must set up a digital wallet to use Bitcoins. the digital wallet must be set up to use bitcoin (by
you)
Quiz & Review Activity Fluentize, LLC. Copyright 2019. For use only with license.
What is Bitcoin and How Does it Work (B1 - B2)

Work with a partner. Complete the quiz and review activities below.

PART I Summary. Give a summary of the video & any information you remember about Bitcoin.

PART II Pronunciation. Pronounce the following words.

1. several 2. decentralized 3. flourish 4. prerequisite

PART III Questions. Discuss the answers to the questions below.

1. What are some advantages of using Bitcoin?
2. Where can you use Bitcoin?
3. What is a Bitcoin miner?
4. How is Bitcoin changing finance?
PART IV Vocabulary: Discuss and write what each term means and how it was used in the video.
Miners are rewarded newly generated bitcoins for verifying transactions after
1. verify transactions
Miners are rewarded
2. rewarded
Great ideas flourish bitcoins are a great way for businesses
3. flourish

PART V Grammar: Write three sentences about Bitcoin using the as...as structure you studied.

Sending Bitcoins is as simple as sending an email

1.
Bitcoins are as safe as physical currencies
2.
The Bitcoin network is as safe as banks
3.

PART VI Grammar: Convert each sentence from the active to the passive tense.

ACTIVE VOICE PASSIVE VOICE

1 A genius built a digital currency. The digital currency was built by a genius

2 A hacker could break into your account. Your account could be broken into (by hacker)

3 The bank denied the transaction. The transaction was denied (by the bank)

4 You keep Bitcoins in your digital wallet. Your digital wallet holds your bitcoins

5 People sometimes steal Bitcoins. Bitcoins can be stolen by people

6 He hid his identity. His identity was hidden by him

7 You can exchange your dollars for Euros for Bitcoin. Your dollars can be exchanged for euros or bitcoins

8 Anyone can see transactions on the public ledger. Transactions can be viewed in the public ledger by
anyone
9 Can the government forbid Bitcoin? Could Bitcoin be banned (by the government)
Bonus Activity Fluentize, LLC. Copyright 2019. For use only with license.
What is Bitcoin and How Does it Work (B1 - B2)

The creator (or creators) of Bitcoin are anonymous. It means that it was
invented by an unknown person or group of people.

PART I Work with a partner or group. Imagine you are the

creators of Bitcoin and you are preparing for your first
news interview about Bitcoin. What three questions do
you expect to hear in the news interview?

EXAMPLE “Do your friends and family know you created Bitcoin?”

PART II With your partner, write the story about yourselves and how Bitcoin started. Answer the
questions you made above. You can also write about the things below.

Your inspiration for Bitcoin Your experience Your plans for the future

PART III With your partner, present your story to the other students or groups.