Faculty of Technology Management

Faculty of Technology Management & Technopreneurship
THE IMPACT OF CRYPTOCURRENCY USAGE TOWARD DIGITAL

FINANCE TECHNOLOGY
MUHAMMAD ARIF ZULKAMAL BIN MOHAMAD SHAH
Bachelor of Technology Management (High Technology Marketing) with

Honours
SUPERVISOR DECLARATION
“I hereby declare that I had read through this thesis and in my opinion that this thesis
is adequate in terms of scope and quality which fulfill the requirements for the award
of Bachelor of Technology Management (High-Tech Marketing) with Honours”
Signature :…………………………………………….
Name of Supervisor : MDM. AZRINA BINTI OTHMAN
Date :………………………………………………
Signature :………………………………………………..
Name of Panel : DR. NORHIDAYAH BINTI MOHAMAD
Date :………………………………………………..
THE IMPACT OF CRYPTOCURRENCY USAGE TOWARD DIGITAL
FINANCE TECHNOLOGY
MUHAMMAD ARIF ZULKAMAL BIN MOHAMAD SHAH
The thesis is submitted in partial fulfillmentof the requirements for the award of
Bachelor of Technology Management (High-Tech Marketing) with Honours
Faculty of Technology Management and Technopreneurship Universiti Teknikal

Malaysia Melaka
JANUARY 2023
DECLARATION
“I hereby declare that the work of this exercise is mine except for the quotations and
summaries that have been duly acknowledged”
Signature :
Name : MUHAMMAD ARIF ZULKAMAL BIN MOHAMAD SHAH
Date :
DEDICATION
This thesis is dedicated:
To my beloved supervisor, Madam Azrina Binti Othman, who has guided me

and motivated me along the way of finishing the thesis. Thank you for your patience in
leading us along the research process. Next, I would like to express my profound
gratitude to my father and mother, Encik Mohamad Shah bin Tugimin and Puan
Nakimah binti Paimin has always supported me through my good and bad times and
provided me with the extra boost that I always needed to wrap up my thesis. I want to
thank my sister, Ms Nurul Anis Faizah binti Mohamad Shah, who has always been such
a supportiveperson by helping me to find the all information and giving advice and
support also giving me the encouragement I need. Lastly, I would like to thank all the
respondents who have assisted me in completing my study.
THE IMPACT OF CRYPTOCURRENCY USAGE TOWARD DIGITAL FINANCE TECHNOLOGY
I want to grab this opportunity to thank everyone who has assisted me along the way to
finishing my research. First and foremost, I am ever grateful to my supervisor, Madam Azrina
Binti Othman, for her clear and tactful guidance on my research. I owe a lot to Madam Azrina
since she has consistently educated and supervised me while also supplying relevant
information to complete this project. Also, I would like to express my gratitude to Dr,
NorHidayah Binti Mohamad for the insightful remarks and questions, which helped me finish
the thesis.
Besides, I am most grateful to my family members for their support and encouragement
while completing this study. Throughout this journey of writingreports, they have provided me
with motivation and enthusiasm. Their assistance is sufficient in every way, and it has greatly
aided me in completing my final year project.I am nothing without them, and I would like to
express my gratitude for their spiritualand financial support. All the glory to the Almighty God
for His richest grace and mercy to accomplish this thesis.
Finally, I want to express my gratitude to Universiti Teknikal Malaysia Melaka

(UTeM) for allowing me to study. This research study has provided me with excellent
research experience, supporting my personal growth and development, and broadening my
knowledge and wisdom
ABSTRACT
This chapter discusses the previous studies related to the research objectives that have been
presented. In general, the emerge of cryptocurrency usage bring impact to the digital finance
technology. Therefore, researchers have also submitted past studies related to proposed type
of cryptocurrency that been used by a company in its digital finance. The focus is on digital
finance technology in Malaysia. The determination to manage this research project is to study
the cryptocurrency usage by Synergy company in the digital finance technology. Research
questions will be expanded and tested to achieve the objectives of this research. A review of
the framework was conducted to review the type of cryptocurrency usage in Synergy company
in the digital finance technology. The primary data will be collected through virtual interviews
with seven respondents: four managers and four staff in various departments. Secondary data,
researchers refer to journals, books, magazines and internet access. The data collected will be
analysed after the completion of the virtual reality interview session. The research methodology
used in this research is a qualitative method. The researcher prepares interview questions to be
answered by the respondents and uses the descriptive method as a research design to collect
data. Researchers also use several research mechanisms that will be used in this research which
are scientific canons, to ensure that the study results are of quality and produce qualified
research.
Keyword : Cryptocurrency, Digital Finance

ABSTRAK
Bab ini membincangkan kajian lepas berkaitan objektif kajian yang telah dibentangkan. Secara
umumnya, kemunculan penggunaan mata wang kripto membawa impak kepada teknologi
kewangan digital. Oleh itu, penyelidik juga telah mengemukakan kajian lepas berkaitan
cadangan jenis mata wang kripto yang digunakan oleh sesebuah syarikat dalam kewangan
digitalnya. Tumpuan diberikan kepada teknologi kewangan digital di Malaysia. Keazaman
untuk menguruskan projek penyelidikan ini adalah untuk mengkaji penggunaan mata wang
kripto oleh syarikat Synergy dalam teknologi kewangan digital. Persoalan kajian akan
diperluaskan dan diuji untuk mencapai objektif penyelidikan ini. Kajian semula rangka kerja
telah dijalankan untuk mengkaji jenis penggunaan mata wang kripto dalam syarikat Synergy
dalam teknologi kewangan digital. Data utama akan dikumpul melalui temu bual maya dengan
tujuh responden: empat pengurus dan empat kakitangan di pelbagai jabatan. Data sekunder,
penyelidik merujuk kepada jurnal, buku, majalah dan capaian internet. Data yang dikumpul
akan dianalisis selepas selesai sesi temu bual realiti maya. Metodologi kajian yang digunakan
dalam penyelidikan ini ialah kaedah kualitatif. Pengkaji menyediakan soalan temu bual untuk
dijawab oleh responden dan menggunakan kaedah deskriptif sebagai reka bentuk kajian untuk
mengumpul data. Penyelidik juga menggunakan beberapa mekanisme kajian yang akan
digunakan dalam penyelidikan ini iaitu kanun saintifik, bagi memastikan hasil kajian adalah
berkualiti dan menghasilkan penyelidikan yang layak.
Kata Kunci: Mata wang Kripto, teknologi kewangan digital,

TABLE OF CONTENT
CHAPTER TITLE PAGE

ABSTRACT
TABLE OF CONTENT
LIST OF TABLES
LIST OF FIGURES
LIST OF DIAGRAM
LIST OF APPENDICES
CHAPTER 1 INTRODUCTION
1.1 Introduction 1
1.2 Background of Study 1
1.3 Conceptual & Operation Definition 3
1.4 Problem Statement of Study 5
1.5 Research Question 6
1.6 Research Objectives 6
1.7 Scope and Limitation 7
1.8 Significant of Study 8
1.9 Summary 8
CHAPTER 2 LITERATURE REVIEW
2.0 Introduction 9
2.1 Cryptocurrency technology 9
2.1.1 Blockchain 9
2.1.2 Usage 10
2.1.3 Security 10
2.2 Cryptocurrency 10
2.2.1 Proof of Work (PoW) 12
2.2.2 Proof of Stake (PoS) 13
2.2.3 Tokens 14
2.2.4 Stablecoin 15
2.3 Digital finance Technology 16
2.4 Impact of Cryptocurrency usage toward Digital 17
Finance Technology
2.4.1 A Database That Is Distributed 17
2.4.2 Transmission on a Peer-to-Peer Basis 17
2.4.3 Transparency while maintaining a 17
pseudonymous identity
2.4.4 The Unchangeable Nature of Records 18
2.4.5 Computational Logic 18
2.5 Summary 18
2.6 Conceptual Framework 19
CHAPTER 3 RESEARCH METHODOLOGY

3.0 Introduction 20
3.1 Research Design 21
3.2 Methodologies Choices 21
3.3 Primary and Secondary Data Source 22
3.4 location of Research 23
3.5 Research strategy 23
3.6 Time Horizon 24
3.7 Scientific Canon 24
3.7.1 Internal Validity 25
3.7.2 Generalizability/External validity 26
3.7.3 Construct Validity 26
3.7.4 Reliability 28
3.8 Summary 30
3.9 Research Method 31
CHAPTER 4 DISCUSSION AND ANALYSIS
4.1 Introduction 32
4.2 respondent profile 33
4.3 The use of cryptocurrency usage on Luno company 35
in digital finance technology
4.3.1 Exchanger 35
4.3.2 crypto wallet 36
4.3.3 Launch pad 37
4.4 To investigate the impact of cryptocurrency usage in 38
company on digital finance.
4.4.1 A database that is distributed
4.4.2 Transmission on Peer-to-peer Basis 39
4.4.3 Transparency while maintain a 40
Pseudonymous identity
4.4.4. Computational Logic 41
CHAPTER 5 CONCLUSION AND RECOMMENDATION

5.0 Introduction
5.1 Research objective 1
5.2 Research Objective 2
5.3 Contribution of study
5.4 Future recommendation
vii
LIST OF TABLES
TABLES TITLES PAGES

3.1 Threat to Internal Validity 36
3.2 Threats to Reliability 39
4.1 Profiles of Informants 45
vii
LIST OF FIGURES
FIGURES TITLES PAGES

5.1 Informants – 4 49
5.2 Informants - 4 51
5.5 Conceptual Framework 64
vii
LIST OF APPENDICES
APPENDICES TITLES PAGES

1 Gantt Chart for PSM 1 69
2 Gantt Chart for PSM 2 70
3 Transcript Informants 71
vii
CHAPTER 1
INTRODUCTION
1.1 Introduction
This chapter will be discussed the background of the study, problem statement,
research questions, research objectives, scope and limitations of the study, significant
of study and summary of the whole chapter.
1.2 Background of study
In the world of trading evolve start with barter system until the money have created.
Up until now, the world toward digitalization more lively including the payment
system. Digital financing have been centered in the topic. After all of this,
cryptocurrency have been created as a legal exchanger to doing a business after money
currency. A cryptocurrency is a digital or virtual currency that is protected by
encryption, making counterfeiting or double-spending practically impossible (Jack
Franken Field, 2022). It was first described in a white paper published in 2008 by
Satoshi Nakamoto, a pseudonymous individual or group. In early 2009, Nakamoto
made Bitcoin available to the public, and a swarm of eager fans began exchanging and
mining the currency.(money crasher, 2020)
In other word, cryptocurrency is a new system that can be used or mimic as a

money in real situation but in digital (Kapersky, 2021). Currency in money have a lot
of type such as dollar and it goes same to crypto. At the time of writing, there are more
than 10,000 different cryptocurrencies in circulation, and the number is growing. To
put this in context, the number of cryptos barely topped 1,000 four years ago ( Nicholas
1
Rossolillo, 2022). Bitcoin, Ethereum, Litecoin, Cardano are part of many coin in the
cryptocurrency (Adam Hayes, 2022).
BNM's decision to regulate cryptocurrency usage came not just as a result of the
worldwide trend, but also in response to the market's shift. Using this technology since
it appears to be a wonderful way to get things done quickly wealth. This increased the
necessity to explore the motive. The awareness about the cryptocurrency making a
buzz around younger generation. Looking forward as opportunity to make a fortune
instead longing around in their traditional ways to serve or working pull out the interest
toward to cryptocurrency (Omar Alaedin, 2019).
Diagram 1.0 : Example of cryptocurrency working method
(Source: Jefferey Mazer, 2020).
This is the example graphic on how the cryptocurrency working method. In fact, one of
the most significant advantages of cryptocurrencies is the absence of financial institution
intermediaries. The absence of a "middleman" reduces transaction costs for merchants. If the
financial system is hacked or the user does not trust the traditional system, there is a huge
advantage for consumers. For example, if a bank's database was hacked or damaged, the bank
2
would be completely reliant on its backups to restore any lost data. Even if a portion of a
cryptocurrency is compromised, the remaining portions can still confirm transactions ( Jefferey
Mazer, 2020).
In addition, purchasing goods and services with cryptocurrencies is done online and
does not require the disclosure of personal information. A common misconception about
cryptocurrencies is that they ensure completely anonymous transactions. They actually provide
pseudonymity, which is a state of near-anonymity. They enable customers to make purchases
without providing merchants with personal information. A transaction, however, can be traced
back to a person or entity in the eyes of law enforcement. Nonetheless, in the face of growing
concerns about identity theft and privacy, cryptocurrencies can provide benefits to users. This
can be called a new revolution toward to digital financing as the holder of coin in
cryptocurrency not to be worried about the leak of personal information that can harm their
selves.
1.3 Conceptual & Operational Definition of Study
i) Conceptual Definition
The impact cryptocurrency usage have gained a lot of attention from scholars
and practitioners in the age of big data. The blockchain concept, first introduced
in 2008, is built on distributed, open ledgers to provide a trust mechanism and
intelligent data management for digital business applications. Initially focused
on developing digital currencies (including bitcoin), cryptocurrency have
become apart of digital banking and other commercial domains. Meanwhile,
firms and consumers have embraced digital money more generally. Digital
finance developments such as digital payments, crowdfunding, digital lending,
supply chain financing, and robo-advising, for example, have had a substantial
impact on business and society ( Wei Xu, 2022)
ii) Operational Definition
As a result, to grab the understanding of cryptocurrency usage it has to

demonstrate how cryptocurrency digital money may be used to enhance
business processes and operations in creative ways. understanding of the
3
potential commercial value production through digital financial applications,

cryptocurrency has emerge in digital finance approaches for diverse contexts
(for example, digital payments, crowdfunding, digital loans, supply chain
finance, and robo-advisors), as well as its primary impact (e.g., economics and
society). Since it has be seen as replacement of money paper currency, some of
the coin has been produce and been accepted as the society to become primary
money digital ( S. Fan, 2022 )
• Exchanger
- A cryptocurrency exchange is a website where you may purchase and sell
cryptocurrency. The user may utilize exchanges to convert one crypto to
another, such as Bitcoin to Litecoin, or to buy crypto using ordinary cash,
such as the US dollar. Exchanges display the current market value of the
cryptocurrencies they provide. User may also swap cryptocurrencies for US
dollars or other currencies to keep as cash in your account (if you wish to
trade back into crypto later) or withdraw to your regular bank account.
• Crypto wallet
- Cryptocurrencies are not "stored" somewhere; instead, they are pieces of data
in a database. These bits of data are dispersed across the database; the wallet
locates all of the bits linked with your public address and totals the amount
for you via the app's UI. These programs make it incredibly simple to send
and receive bitcoin (Luno, 2022). Various ways exist for sending and
receiving bitcoin from your wallet. Typically, the input the recipient's wallet
address, select an amount to transfer, sign the transaction with user private
key, pay the transaction fee, and send it.
• Launchpad
- A token sale on a launchpad employs a blockchain-based technique
to encourage normal investors to engage in early stage crypto
ventures by assuring a more equitable distribution of tokens. This
is because blockchain allows for increased transparency by closely
tracking token allocation. Previously, only venture capitalists
(VCs) and other institutional investors had access to this type of
opportunity. With crypto launchpads, even average retail investors
4
may participate in a potential business at a modest cost before it

goes public and values skyrocket. This more equitable token
distribution also safeguards crypto projects from rapid price drops
caused by pump and dump scams, which whales are notorious for.
1.4 Problem statement of study
The research is concerned with the new phenomena of cryptocurrency.

Cryptocurrencies are digital financial assets whose ownership and transfer are ensured
by cryptography decentralized technology. The increasing market value of
cryptocurrencies, as well as their expanding popularity around the world, provide a
variety of issues and concerns for business and industrial economics. (Gian Carlo,
2020) . A special focus is placed on socioeconomic, misconduct, and sustainability
issues. Soon after that, some parties believe that while cryptocurrencies may fulfil
some beneficial services and create economic value, there are reasons to prefer market
regulation. While this contradicts the original libertarian reasoning for
cryptocurrencies, it looks to be an essential step toward improving societal welfare
( Alistair milne, 2020). Its can be said this is new revolution about the currency in the
world, against all the traditional currency in the world. But, its still been a question for
the people whether its good or not. In a certain point, the positive side that can be seen
crypto give more option rather than traditional and maybe its can be the point to solve
the problem that longing around in term of finance.
Beside that, Blockchain was initially created as the technology underlying

cryptocurrencies such as Bitcoin. It is a massive, globally distributed ledger capable of
recording anything of value and running on millions of machines. Money, equities,
bonds, titles, deeds, contracts, and virtually all other types of assets can be moved and
stored securely, privately, and from peer to peer, because trust is established not by
powerful intermediaries such as banks and governments, but by network consensus,
cryptography, collaboration, and peer-to-peer transactions ( Alex, 2020). Therefore, in
this study we can see that cryptocurrency serve and shows their bright side. In a single
coin, its can be shaped in many form that can be use in certain purpose. Plus, the
process show its safe, own by the people itself and trustworthy.
5
Blockchain is a game changer in this case. Blockchain enables models of peer-to-

peer mass collaboration by lowering transaction costs across all players in the economy,
which could render many of our existing organizational forms obsolete ( Don, 2020).
To be sure, incumbents such as JPMorgan Chase, Citigroup, and Credit Suisse, which
are all presently investing in blockchain technology, may be able to do more with less,
streamline their companies, and reduce risk in the process. As been said, an investing
move by big company to that mention before shows some legitimate process and work
from the cryptocurrency. Its can make a wave for the people and the system to give
some attention to cryptocurrency.
In addition, identity and reputation, transporting value (payments and remittances),

holding value (savings), lending and borrowing (credit), exchanging value
(marketplaces like stock exchanges), insurance and risk management, and audit and
tax operations might all be disrupted by blockchain ( Tapscott, 2020). The statement
give a point on how the big impact cryptocurrency in digital finance. Most of the
system are generate into new ways of use to change the frame of the digital finance
system.
1.5 Research Question
RQ1 :How does Luno company use cryptocurrency in digital finance technology
RQ2 :what are the impact of cryptocurrency usage in synergy company on digital
finance
1.6 Research Objectives
RO1 : To examine the use of cryptocurrency on Luno company in digital

finance technology
RO2 : To investigate the impact of cryptocurrency usage in company on digital
finance
6
1.7 Scope of Study & Limitations of study
i. This study will focus on the factors that influence the impact of cryptocurrency
usage toward digital finance technology. In addition, it also focuses on the key
factors influencing changes cryptocurrency toward digital finance in term of
usage and acceptance by the people. Moreover, the researcher scope is to
identify the changes of the digital finance world toward the impact bring by
cryptocurrency. Cryptocurrency is a digital, decentralized form of money. It is
possible to use cryptocurrencies to purchase and sell goods and services, as well
as to keep and develop wealth. A random interview distribution method
employing Webex, WhatsApp's video call, or Google Meet is used to ask
individuals questions in one-on-one conversations to accomplish the intended
outcomes and offer unambiguous responses to the interview questions that have
been disseminated.
ii. The research focus on the impact of cryptocurrency usage toward to digital
finance technology including to investigate the factor that bring impact toward
digital finance because of the existing of cryptocurrency. The collection of data
will be collected from the user and the holder coin of cryptocurrency including
with the broker on this system. Researcher can dig out main point of factor that
change the main frame usage of digital finance by cryptocurrency influence. The
limitation of this study is that the researcher could not ensure that the resultsare
very reliable because of cryptocurrency may not be stable as the research
though. One of the most serious worries about cryptocurrencies is the potential
for scalability issues. It is still dwarfed by the volume of transactions that VISA
handles each day, despite the tremendous growth of digital currencies and their
use.
In addition, unless the infrastructure supplying these technologies is widely expanded,

cryptocurrencies cannot compete with the speed of a transaction on the same level as companies
like VISA and Mastercard. Complexity and difficulty abound in carrying out such a progression
in unison. Lightning networks, shading, and staking have previously been presented as possible
answers to the scalability problem. Other than that, as the coin rapidly
7
added to the system, not many as the respondent acknowledge the presence of cryptocurrency due
to lack of knowledge involving the system of cryptocurrency.
1.8 Significant of Research
By conducting this research, the researcher be able understand clearly on the impact
cryptocurrency usage toward digital finance technology. Besides that, researcher also can
determine the relationship between the impact of cryptocurrency usage in digital finance
technology. This research explains the impact that cryptocurrency bring to digital finance
system that can change the whole game of system. It is like new revolution toward finance
system. In hence, this research paper be able to act as future reference for other researcher that
plan to conduct research that relate with cryptocurrency and digital finance. In addition, this
study will give some benefit information to company that want to utilize the the system of
cryptocurrency in their finance.
1.9 Summary
The framework of this chapter is the introduction of study overall. It introduces the topic
of the study including background, the problem statement, the research questions and research
objective, scope of limitation of study.
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CHAPTER 2
LITERATURE REVIEW
2.0 Introduction
This chapter's purpose is to give the reader a better understanding of the research study's
literature review. Cryptocurrency is explained from the beginning. Next. The use of digital
finance was then described. Plus, from the earlier explanation may also be used to explain the
impact of cryptocurrencies toward digital finance usage. The theoretical framework was also
included in this portion, and the chapter will conclude with hypotheses as the final section.
2.1 Cryptocurrency Technology
Currency exchanges between individuals and businesses are often handled by a third
party. A bank or credit card company serves as a middleman when it comes to making a digital
payment or currency transfer. In addition, a bank or credit card firm charges a fee for a
transaction. The same approach is used in a variety of other fields, including video games,
music, and software. Third parties often control and maintain the transaction system, rather
than the two main parties involved in the transaction themselves. Typically, the transaction
system is centralized. This problem has been addressed by the development of the blockchain
technology. It is the purpose of Blockchain technology to establish a decentralized ecosystem
in which no third party is in charge of transactions or data ( Jesse Yli-Huumo, 2021).
2.1.1 Blockchain
blockchain is a public ledger system that ensures the integrity of transaction data
and is best known as the technology behind the Bitcoin cryptocurrency. When
the Bitcoin digital currency first appeared, it made use of blockchain technology
9
for the first time. Bitcoin is the most widely used implementation of Blockchain
technology to this day. Bitcoin is a decentralized digital currency payment
system that uses a public transaction record known as Blockchain to keep track
of all transactions. The most important aspect of Bitcoin is the currency's ability
to sustain its value without the intervention of any institution or government. As
the Bitcoin network grows, so does the quantity of transactions and users. In
addition, currency exchange markets are continually converting traditional
currencies, such as the Korean won (KRW), the Euro (EUR), and the US dollar
(USD). So it's no surprise that bitcoin has become the most popular digital
money that uses Blockchain technology ( Deokyoon Ko, 2021).
2.1.2 Usage
There are currently Bitcoin Blockchains that are exceeding 50,000MB in size
(February 2016). VISA-level transaction throughput would allow Blockchain to
grow at an annual rate of 214PB. Every ten minutes, according to the Bitcoin
consensus, a new block of data with a size of 1MB is generated. Since the total
number of transactions per block is capped at 500, there is a limit to the number
of transactions that may be processed simultaneously. The size and bandwidth
constraints must be addressed if the Blockchain is to handle additional
transactions. By spreading its operations across a network of computers,
blockchain allows Bitcoin and other cryptocurrencies to operate without the
need for a central authority. This not only reduces risk but also eliminates many
of the processing and transaction fees. It can also give those in countries with
unstable currencies or financial infrastructures a more stable currency with more
applications and a wider network of individuals and institutions with whom they
can do business, both domestically and internationally.
2.1.3 Security
A 51% attack on the existing Blockchain is possible. For example, one
organization might control the majority of the network's mining hash rate and
hence alter Blockchain in a 51 percent attack. We must conduct additional
studies on security to resolve this problem.
10
2.2 Cryptocurrency
Despite their relatively recent inception, cryptocurrencies have gained widespread
acceptance and rapid growth. These days, hedge funds and asset managers are increasingly
incorporating bitcoin into their portfolios and trading techniques. Cryptocurrencies and
cryptocurrency trading have witnessed significant growth and an uptick in interest and activity
as an emerging business and research topic (Farell 2019). Cryptocurrency security relies on
encryption rather than human or third-party trust (Narayanan et al. 2019). For example, the
safety of Bitcoin transactions is ensured via a mechanism known as "Elliptic Curve
Cryptography" (Wang et al. 2020).
In addition, on elliptic curve kind of public-key cryptography depends on mathematics

to secure transactions. If a brute force attack is used to find a value match, it takes one-tenth
the lifetime of the universe to search through 250 billion possibilities per second (Grayblock
2020). To utilize cryptocurrency as a currency, it shares several characteristics like fiat
currencies. There is a limited number of them available at any given time. Most
cryptocurrencies restrict the amount of currency that can be exchanged. According to Bitcoin's
etymology, the supply is expected to decline over time until it reaches its final amount in 2140.
A timeline contained in the Blockchain governs the supply of tokens in every cryptocurrency.
Cryptocurrency marketplaces have a combined market capitalization of roughly $190

billion as of December 20. (CoinMaketCap 2019). Global market capitalization and 24-hour
trade volume are depicted in figure. (TradingView 2021). Both the blue line and the green/red
histogram represent the total cryptocurrency market capitalisation. All cryptocurrencies' dollar
market capitalizations are combined to arrive at the total market cap. It can see from the graph
how cryptocurrencies grew exponentially in 2017 and burst into a big bubble in early 2018. As
a result of the pandemic, 2020 saw the value of cryptocurrencies skyrocket. The value of
cryptocurrencies has fluctuated greatly in the year 2021, but has remained at historically high
levels for the most part ( David Martinez-Rego, 2022)
11
Diagram 2 : Example total market capitalization and volume of cryptocurrency
(Source: Fang et al., 2022)
There also lot of of coin that can be called cryptocurrency that emerge really fast in
current time. It has been reported that there’s has huge amount number coin. Moreover, the
coin has been divided as four type of coin that really give impact and construct how the coin
been value and been operated.
2.2.1 Proof of Work (PoW)
To get things rolling, the first type of cryptocurrency is the one that was
introduced by Bitcoin. This form of digital money is underpinned by blockchain
technology and relies on a principle referred to as proof of work (PoW) in order
to conduct transactions. However, in order to comprehend the significance of
this, you must first have an understanding of what a blockchain is. A distributed
ledger system is what blockchain refers to in its most basic form. Everycomputer
that is part of a blockchain network is referred to as a node, and it is
12
responsible for keeping its own copy of the distributed ledger. It's somewhat of
like when you share a copy of a check register with numerous people, except
that none of the members can add anything to the register on their own. In order
for a transaction to be added, the nodes in the network must compete to solve a
difficult cryptographic challenge that represents the data that is to be added. The
person who is the first to solve the problem will then communicate the solution
to the rest of the network so that it may be checked. Mining refers to the process
of trying to be the node on the network that discovers the correct answer first in
order to receive a reward from the network. This technique has become widely
known. It is a safe and self-policing method that ensures complete and accurate
record keeping.
2.2.2 Proof of Stake (PoS)
One of the most significant issues with proof-of-work systems is that they do
not scale very well. In order to solve this issue, a novel consensus architecture
for the blockchain was designed, which makes it possible for transactions to be
validated by more manageable groups of nodes. Proof of stake, also known
simply as PoS, is an alternative method to proof of work (PoW) for ensuring the
integrity of a cryptocurrency. It is not necessary for every node in a PoS system
to validate each and every transaction. Instead, in order to join a transaction
validation group, participant nodes are required to utilise some of the
cryptocurrency they already own as a deposit. The term "proof of stake" comes
from "proof of stake," which refers to this deposit. As a kind of punishment, the
stakes associated with any nodes that attempt to cheat or insert false data into
the ledger are immediately lost. Those customers who do their best to avoid
13
breaking the regulations are rewarded with a higher rate of interest on their
deposits. In a blockchain that relies on proof-of-stake transactions, this is the
incentive system that ensures everything stays secure and functions in an
equitable manner.
2.2.3 Tokens
The two varieties of cryptocurrencies that we have discussed up to this point can
be differentiated from one another based on the technology that underpins them.
However, that is not the only form of differentiation that you will find onthe
market. There are also disparities in the objectives served by the various
products and services that are currently available on the market. Tokens are the
next big sort of cryptocurrency, so let's talk about those now. Tokens are distinct
from regular cryptocurrencies in that they are not designed to function as a form
of currency that can be used for a variety of transactions. Additionally, they are
built on top of pre-existing blockchains, such as Ethereum's; they do not exist
as independent systems on their own. Consider the chips that are used to make
wagers in a casino as an analogy for this idea. This is, in a sense, the easiest way
to understand what is going on here. In spite of the fact that they can be
exchanged for cash or other valuable assets, they can only be used within the
one casino that issued them. For instance, the online music streaming service
Musicoin enables direct payments from listeners to musicians by utilising a
token that is simply referred to as Music. The token itself was built on
Ethereum's blockchain, which is home to the vast majority of tokens, however
it cannot be immediately exchanged for fiat cash due to the nature of how it was
created. Instead, in order to withdraw their profits, artists who are compensated
14
in this manner are required to first convert their tokens into regular
cryptocurrencies such as Bitcoin or Ethereum.
2.2.4 Stablecoins
Stablecoins are digital currencies that have been designed from the ground up
to serve as a trusted medium of value exchange and storage, as their name
suggests. They came into being due to the fact that traditional cryptocurrencies
such as Bitcoin and Ether (the coin that represents Ethereum) can experience
enormous price swings over a short period of time, which makes them
challenging to handle. Because of this, some people who invested in
cryptocurrencies became multi-billionaires overnight, only to watch their wealth
vanish almost as soon as it was created. Stablecoins are a type of cryptocurrency
that can be traded for fiat money but are similar to tokens in that they are
constructed on top of existing blockchains. This makes them somewhat of a
hybrid between tokens and traditional cryptocurrencies. They fulfil an extremely
important function for the market by making it possible for day-today, routine
transactions that are unaffected by shifts in value. The majority of stablecoins
are able to accomplish this by linking their value to that of one or more fiat
currencies and maintaining reserves of those fiat currencies as a form of value
insurance for their tokens.
15
2.3 Digital finance Technology
The influence that newly developed technologies have had and continue to have on the
financial services sector is referred to as "digital finance." It encompasses a wide range of
products, apps, procedures, and business models that have fundamentally altered the
conventional means by which banking and financial services are delivered to customers.
Although technical advancement in the financial sector is not a recent phenomenon,investment
in emerging technologies has significantly expanded over the past few years, and the rate of
invention is exponential. (NST, 2021)
The use of mobile technologies in our interactions with the bank has become standard.
We make payments, move money, and make investments utilising a range of innovative
instruments that were not available to us only a few short years ago. Artificial intelligence,
social networks, machine learning, mobile applications, distributed ledger technology, cloud
computing, and big data analytics have all contributed to the emergence of new services and
business models implemented by both well-established financial institutions and new entrants
into the market.
Consumers and businesses alike stand to gain from the increased availability offinancial
services, expanded product options, and streamlined business processes that can be brought
about by the application of these various technologies. Moreover, the term "digital finance"
refers to a wide variety of financial services that can be accessed and provided throughdigital
channels. These services include, but are not limited to, savings, investments, financing,
payments, credit, remittance, and insurance. Digital finance encompasses all aspects of
financial technology, also known as "fintech." Because of the widespread adoption of
technology and the more tech-savvy nature of consumers, the digital experience is rapidly
becoming the new standard for customers of financial services (NST, 2021)
16
2.4 Impact of Cryptocurrency usage toward Digital Finance Technology

When it comes to cryptocurrency, the transaction processing has been decentralized and
no longer relies on a single corporation (such as with Visa or PayPal). Instead, networks such
as Bitcoin's or Ripple's are used to execute transactions. All of the data and processing is not
owned by one entity. All the transaction data is accessible to the network participants, who
have agreed to keep it in consensus network. Although the paradigm has shifted little, the
participants' working methods have fundamentally changed together ( NG Dennis, 2021). Aside
from that, there are 1.7 billion people in the world without a bank account. Because of their
financial hardships, they frequently resort to risky lending tactics. The fact that so many people
in this group own smartphones means that cryptocurrency might easily become a viablechoice
for them in the future. Additionally, bitcoin is totally decentralized, which means that
inhabitants of nations with unstable currencies can trade freely with citizens of more prosperous
countries, creating a level of economic equality for all parties involved (Pelicoin, 2022).
More over, from the research finding, there are several point of impact cryptocurrency
came from the cryptocurrencies in different field and people that involve in digital finance
whether its positive or negative ( Paul Griffin, 2021).
2.4.1 A Database That Is Distributed

Every participant on a blockchain can view the whole database in addition to all
of its previous iterations. There is no one entity that has control over the
information or the data. Every side is able to independently verify the other's
records partners in a transaction directly, without going via a middleman.
2.4.2 Transmission on a Peer-to-Peer Basis

Instead of going through a central node, communication happens directly
between each participant's peers. Each node information is stored and forwarded
to all other nodes by this node.
2.4.3 Transparency while maintaining a pseudonymous identity

Anyone who has access to the system is able to view every transaction as well
as the value that is linked with it. Each node, also known as a user, on a
blockchain has a distinct alphanumeric address that contains more than 30
characters identify it. Users have the option of remaining anonymous or
17
revealing themselves to others by providing evidence of their identity.

Transactions are carried out between addresses on a blockchain.
2.4.4 Computational Logic

Due to the fact that the ledger is digital, each transaction on the blockchain may
be linked to a specific user computational logic and, in essence, pre-written
software. In order to allow users the ability to create up algorithms and rules that
transaction initiation that is performed automatically between nodes
2.5 SUMMARY
Overall, this chapter discusses the past studies related to the research objectives that
have been presented. An emerge of technology like crypto bring the value of impact that can
change the structure of digital finance. Therefore, the adoption on the technology still new but
fascinating to be told because it mark the new era of digital financing.
18
2.6 Conceptual Framework
THE IMPACT OF
CRYPTOCURRENCY USAGE
TOWARD DIGITAL FINANCE
TEHCNOLOGY
USE OF THE IMPACT OF CRYPTOCURRENCY

CRYPTOCURRENCY IN IN DIGITAL FINANCE
LUNO COMPANY
Exchanger 1 A Database That Is

Distributed4
Wallet 2 Transmission on a Peer-to-Peer

Basis 5
Launchpad Transparency while maintaining a

3 pseudonymous identity 6
Computational Logic7
1.(Matthew Sparkes, 2019)

2.(CB Insights, 2021)
3.(Pelicoin, 2022).
4.(Lindsay Moore, 2022)
5. (Ruben De Smet, 2019)
6. (Sedlmeir, 2022)
7. (Guo, 2022)
19
CHAPTER 3
RESEARCH METHODOLOGY
3.0 INTRODUCTION
According to Saunders et al. (2019), research methodology is a process that should

systematically undertake an obvious purpose in an investigation and determine things in
describing, explaining, understanding, criticizing, and analyzing. This definition of research
methodology can be found in Saunders et al. In this chapter, the researcher will, for the most
part, concentrate on and talk about the research method that was used for the study. The
researcher began by providing an explanation of the research design, which was developed to
both answer research questions and accomplish research objectives. In this particular piece of
research, a descriptive research strategy was utilized. In addition, a qualitative approach was
chosen as the methodology for this investigation. In the next section, both primary and
secondary data sources were explored as potential resources.
In a similar vein, the reasons why the research was conducted in a particular place were
also presented to the participants. This research utilised a case study as its primary method of
data collection and analysis. In a similar vein, both the time horizon and the scientific canons
were, respectively, clarified. The synopsis of chapter 3 was included in this section. In the
meantime, the research framework that was used for this study is going to be described in the
last section.
20
3.1 RESEARCH DESIGN
It is a wide technique for connecting conceptual research challenges to relevant and

practical empirical research, according to Ghauri and colleagues (2020). The study design gives
the researcher the ability to find and prepare strategies for addressing research problems in the
field of psychology. It is possible to design a study to accomplish an exploratory, descriptive,
explanatory, or evaluative purpose, or a mix of these goals (Jilcha, 2019). Experimenting with
new ideas, new questions, and new ways of looking at things is the goal of exploratory research
(Asenahabi, 2019). Consequently, exploratory research was chosen as the research technique
for this study in order to elucidate the methodologies used to examine the influence of bitcoin
on digital finance.
Only a few competencies are needed to conduct exploratory research according to

Ghauri et al. (2020). These include the ability to observe, gather data, and develop an
explanation. This necessitates qualitative data collection approaches such as in-depth
interviews, focus groups, and case studies with clients, staff, and management (Jilcha, 2019).
After hearing from eight experts and seasoned professionals, the researcher was more equipped
to tackle today's problems.
When a researcher is short on data and resources, they turn to exploratory research.
Exploratory research, on the other hand, can assist researchers better understand certain issues,
problems, and phenomena. Cryptocurrency's role in digital finance was examined in this study.
In addition to the aforesaid advantages, exploratory research is adaptable and versatile.
3.2`Methodological Choices
There are three types of methodological choices, according to (Asenahabi, 2019), which are
distinguished by whether they focus on data in the form of words, numbers, or both. The
research approach is a framework that describes how research is conducted. It describes the
methods and processes used to conduct specific investigations or research. Patel M et al. define
an analytical approach as a collection of approaches used in various types of research (2019).
As a result, it is critical to select a strategy that is appropriate for the study's goal. The qualitative
research method was used in this study because conducting an interview session
21
allowed the researcher to better understand the respondents' thoughts and perspectives. It is a
comprehensive research method because it allows scholars to discover information and
knowledge by participating in current events.
After the research challenges and emphasis are defined and selected, the researcher will
conduct research investigations at Sinergy. The researcher has chosen a qualitative approach in
which the researcher will provide some questions about cryptocurrency usage in digital finance
that Sinergy company may use. This concept may raise public awareness of the emergence of
cryptocurrency. The researcher has obtained permission to conduct interviews from one of the
company's managers, and the researcher will meet and greet the farmers at Sinergy company
for the interview session.
By posing specific questions about cryptocurrency usage in digital finance, the

qualitative method will be used in multiple focus groups at Sinergy. Respondents came from a
variety of departments, including business development, marketing, operations, andpurchasing.
This qualitative strategy is used to ensure that researchers gather accurate information related
to study objectives and extract that information for use in research writing.
3.3 Primary Data Sources and Secondary Data Sources
The collection is critical to the success of the research. The study employs two types of
data sources: primary data and secondary data. Observation, semi-structured, in-depth
interviews, group interviews, and surveys are examples of primary data collection methods.
Secondary data is divided into three types: documentary, multiple sources, and survey
secondary data. In this study, the researcher used both primary and secondary data to determine
the precise direction and guidance needed to complete the investigation.
Primary data, according to Ghauri et al. (2020), can be used to gather information on a
specific study purpose and questions. As a result, original data may help the researcher solve
specific problems. The majority of the data for this study was gathered through interviews with
eight Sinergy company respondents who were experienced management personnel and
executives. The alternatives and perspectives provided by the selected respondents were
specifically identified as primary data resources to aid in answering the study questions.
According to Asenahabi, (2019), secondary data are resources that were originally
acquired for another purpose and are then analysed to provide new or different information,
22
interpretations, or conclusions. Meanwhile, the source is critical because gathering and

analysing information may result in new or different knowledge, interpretations, or
conclusions. Secondary data is used to support the research goals of the thesis. The researcher
read publications like Business Insider. Furthermore, social media platforms and the official
website are used to gather additional information. As a result, information research aided in
attaining accuracy in understanding the study issue. Finally, data analysed from secondary and
primary sources ensures the validity and dependability of this investigation.
3.4 Location of Research
In this study, the researcher looked at Sinergy company, a broker company that
specialized in crypto coin and cryptocurrency. The Sinergy company headquarters are in
George Town, Penang. Sinergy company is the broker and also a exchanger for the
cryptocurrency and crypto coins. The survey respondents solely examine management and
executive positions, which the respondents are well acquainted with in terms of industry
operating method. As a consequence, the researcher can gather sufficient data and consolidate
the research purpose.
3.5 Research Strategy
(Jilcha, 2019) have demonstrated that strategy is one of the components to achieving
the goal; research strategy will help the researcher meet the research objective and answer the
research questions. Some of the research methodologies that may be used in the study are
experimentation, survey, documentary research, case study, ethnography, action research,
grounded theory, and narrative inquiry. As a result, the researcher must choose a research
strategy based on the purpose of the study and the research questions.
The researcher's research strategy for completing this investigation was a case study. A
case study is a research technique that focuses on gathering information on a specific item,
event, or activity, such as a specific business unit or organisation, according to (Jilcha, 2019).
In addition, the case study is appropriate when using the qualitative exploratory technique. As
a result, the case study is relevant to researching the impact of cryptocurrency on digital finance
usage.
23
The sample's quality has a positive impact on the reliability and validity of the collected
data and study conclusions. According to Saunders et al. (2019), collecting data from a select
subset rather than all prospective responders and candidates can reduce the amount of data
collected. Analyzing and collecting data from the entire population would be time consuming
and costly for the researcher. As a result, the researcher chose Sinergy company managers and
executives with one year of experience as respondents, believing that their knowledge of the
subject would improve the quality and accuracy of the data in this research study. In addition,
the researcher used judgmental sampling to select the best potential respondents to answer the
study questions. This will be extremely precise, with very little room for error.
3.6 Time Horizon
The time horizon refers to how long it took a researcher to collect data and complete
the investigation. According to (Asenahabi, 2019), the research strategy used or followed has
no effect on the time horizon. In general, temporal horizons are classified as cross-sectional
research or longitudinal studies. (Jilcha 2019) illustrate cross-sectional studies, also known as
"one-shot" or "snapshot" studies. Cross-sectional studies are appropriate for research that
gathers data all at once, possibly over a period of days, weeks, or months.
Cross-sectional studies, according to Saunders et al. (2020), are conducted on a specific

event or phenomenon at a specific time. Meanwhile, cross-sectional studies can be used in
qualitative research or to combine research methodologies. The cross-sectional study was
chosen for this study because the cross-sectional characteristics and requirements for the
research were met. The researcher was required to complete this academic research within eight
months and to gather data resources as soon as possible through an interview session.
3.7 Scientific Canon
This section will go over the scientific canons of Internal Validity, Generalizability or
External Validity, Construct Validity, and Reliability in depth. The goal of scientific canons is
to help researchers obtain reliable results and conduct worthwhile research. (Jilcha, 2019)
Validity is defined as a tool's ability to measure a specific idea that is meant to be measured. In
contrast, dependability refers to a measuring tool's ability to consistently measure whatever
concept it is measuring. In a nutshell, validity is concerned with the suitability of the
24
measurements used, whereas reliability is concerned with replication and consistency.

Saunders and colleagues (2020).
3.7.1 Internal Validity
Internal validity, according to Jilcha (2019), refers to the level of trust placed in the link
between cause and effect. Internal validity, in particular, helps researchers determine how far
the study design allows them to assert that the independent variable influences the dependent
variable. Internal validity also specifies how well a research experiment is carried out. It must
be capable of preventing any confusion or perplexity.
The scope of the study must be limited to the research subject, research question, and
research purpose to ensure internal validity. This research focuses on the Sinergy company's
adoption of cryptocurrency technology. As a result, it is critical to stick to the research
questions and objectives in order to produce an outstanding study. Despite this, the researcher
should be aware of the following potential challenges to internal validity, which are detailed in
Table 3.1 below:
Table 3.1: Threat to Internal Validity
Source: Research Methods for Business Studies (2020)
Threat Definition and Explanation

Testing The effect of testing on the opinions or behaviors of participants. In this
scenario, notifying participants about a study project may cause them to
change their work behavior or responses during the research if they feel
it will have long-term effects for them. As a result, the researcher
informed these respondents that this research was conducted only for
academic purposes as a prerequisite for a bachelor's degree dissertation.
Aside from that, the purpose of this research is to identify the most
effective high-tech marketing methods, rather than to identify the
company's weaknesses, problems, or bad difficulties. With this in mind,
the research did not set out to discover sensitive information that
respondents could withhold. Following that, all responders can be kept
anonymous, with their identities not being included in the dissertation.
25
This protects the respondents' anonymity while allowing them to freely

express their opinions throughout the interview session.
Mortality Individuals dropping out of studies have an impact. During a survey,
respondents usually resign or are promoted. As a result, additional
interviews must serve as backup replies if any respondent is no longer
available during the research.
Maturation The impact of a change in participants that occurs independently of the
research and influences their beliefs or behaviors, etc. Management
training, for example, may require participants to alter their replies at a
future study stage. Respondents were respectfully urged to contact the
interviewer if they had a change of heart about their answers to the
questions posed during the interview before the research was released.
3.7.2 Generalizability/ External Validity
External validity refers to the amount to which the results of a causal investigation may
be generalized to other settings, persons, or situations, whereas internal validity refers to the
level of trust in the causal effects. In other words, it helps the researcher determine to what
degree the findings are transferrable or generalizable to genuine organizational or other field
situations (Jilcha, 2016). In brief, to ensure the external validity of the study, the findings and
outcomes of that specific research must be transferable or relevant to another circumstance with
similar surroundings. The study's findings and conclusions enable the researcher to generalize
the methods for implementing cryptocurrency technology in digital finance for the people and
also for broker and user of digital finance
3.7.3 Construct Validity
Jilcha (2016) show how construct validity demonstrates how well the findings obtained
from the application of the measure reflect the ideas around which the test is designed.
According to (Asenahabi, 2016), the amount to which a series of questions measures what is
meant to access determines construct validity. In other words, construct validity is the number
of objects examined and shown to be consistent with core theory.
26
Convergent and discriminant validity can be used to assess construct validity.

Convergent validity is demonstrated when the scores obtained with two different instruments
assessing the same concept are significantly correlated. Furthermore, discriminant validity is
defined as the relationship between two variables that are theoretically predicted to be
uncorrelated and the ratings obtained by testing them. (Jilcha, 2019).
To validate the legality of the measurements, construct validity can be increased by

referencing and referring to known theories. It can be argued that it served as a guideline for
researchers to stay focused on the research scope in some ways. In summary, construct validity
is a test of generalisation, but the difference is that it examines whether the examined variable,
such as components from research questions, was addressed in this study.
27
3.7.4 Reliability
According to Jilcha (2019), the dependability of a measure is an indication of the

stability and consistency with which the instrument assesses the concept and aids in
determining the quality of a measure. According to Patel et al., reliability is a measure of
gauging internal consistency (2019). Internal consistency of measurements is suggestive of
item homogeneity in the measure that taps the concept. When additional researchers achieve
consistent results from various data gathering approaches, similar observations, or the same
general meaning, the results and findings are deemed trustworthy. Alternatively, on another
time, a researcher may reproduce a previous research design and still acquire the same results;
the findings would also be considered dependable. This study examined several cases in order
to acquire findings that were duplicated across cases, assuring the dependability of the results.
However, various challenges to dependability must be considered in Table 3.2:
Table 3.2: Threats to reliability
Sources: Research Methods for Business Studies (2020)
Threat Definition and Explanation

Participant Any element that has a negative impact on how a participant performs. For
error example, having a subject to complete a questionnaire right before lunch
may influence how they reply when compared to a less sensitive period
(i.e. they may not take care and hurry to complete it). To eliminate the risk
of participant mistake, the researcher planned the interview sessions with
responders. The interviews for this study were conducted on weekdays.
This is due to the fact that the chosen respondents work during office
hours. As a result, the managerial staff and executives are able to schedule
interviews with the researcher.
Participant Any factor that contains a fake answer. For example, having an interview
bias in a public place may cause participants to provide falsely positive replies
because they are afraid of being overheard, rather than maintaining their
anonymity. To eliminate the risk of participant bias and allow respondents
to share their honest ideas and comments, the interview session or data
collecting procedure needs to be done in close-up.
28
Researcher Any circumstance that causes the researcher's interpretation to change. For
error example, a researcher may be weary or underprepared and misinterpret
some of his or her interviewees' more nuanced meanings. To overcome the
risk of research mistake, the researcher must be active and well-prepared
throughout the interview sessions. Each sentence stated or responded by
the respondents was supposed to be recorded by the researcher. To prevent
disturbing the interview session, the researcher should organize ahead of
time by writing down the proper questions that need to be asked.
Furthermore, the researcher was required to repeat the response or data
obtained following the interview session to the respondents. This is done to
check that the data gathered by the researcher was compatible with the
respondents' interpretation and consensus.
Researcher Any aspect that introduces bias into the researcher's recording of replies.
bias For example, a researcher may allow her or his own subjective viewpoint
or propensity to obstruct fairly and properly collecting and interpreting
participant replies. Furthermore, the researcher had to maintain an
impartial perspective and judgment on the examined issue in order to avoid
study bias. The researcher was not permitted or must not influence the
respondents' thoughts, point of view, or opinion. The results and
consequences achieved in this manner would be genuine, exact, and
dependable.
29
3.8 Summary
In this chapter, the researcher will explain the methodology used to conduct this
research. Because cryptocurrency is still new to both the people and the system. People are still
unaware of the impact that cryptocurrency has. The exploratory research approach allows the
researcher to analyse and investigate the efficacy of crypto, which provides a new method for
the Sinergy company's system in digital finance. Qualitative research was used in this study to
collect, organise, and analyse data and information. Furthermore, qualitative research was
chosen as the methodological approach for collecting, gathering, and analysing data and
information for this study because it allows researchers to conduct in-depth analysis while
avoiding neutral bias throughout the data collection process.
Furthermore, the key data for this study were gathered through an interview with eight
respondents from the Sinergy company headquarters, who included experienced management
personnel and executives. To complete this investigation, the researcher obtained secondary
material as a reference from papers, journals, websites, and books. This study used the case
study research technique because it provided a real-life environment for the examination and
study of a true case for research. The research technique was chosen because it allows the
researcher to analyze and investigate real-world examples in order to collect actual data to
answer this research subject's research objectives and research questions. Furthermore, the
cross section was chosen as the temporal horizon for this study because most academic research
aims used a short timeframe to conduct research. The researcher also addressed the study's
validity and reliability, and the researchers collaborated with them to produce valid and
trustworthy research.
30
3.9 Research Method
RESEARCH OBJECTIVE
To examine the type of cryptocurrency use in Synergy company for its

technology
To investigate the cryptocurrency usage in synergy company for its digital
finance
RESEARCH DESIGN
Exploratory Research
METHODOLOGICAL CHOICES
Qualitative
PRIMARY DATA RESOURCES: SECONDARY DATA RESOURCES

Interview: 4 respondents Articles, Websites
Articles:
4 managements 4 executives What Are The Characteristics Of A
with different with different Good Cryptocurrency?
department department
Blockchain and Digital Finance
The Potential Impact of Digital
Currencies on the Australian
Economy
Websites:
https://sinegy.com/about-us
RESEARCH STRATEGY
Case Study:
The impact of cryptocurrency usage toward digital finance technology.
31
CHAPTER 4
DISCUSSION AND ANALYSIS.
4.1 INTRODUCTION
As stated in Chapter 1, this research’s research objective was to examine the

impact of cryptocurrency usage toward digital finance technology. The data collection
proceeds through the online platform and face to face. The qualitative research was
selected and the data was collected by conducting semi-structured interview with 4
respondents. In addition, the findings were analyzed and processed with secondary data
and guided theories from the conceptual framework.
The generated results will be discussed in the following methodology chapter. In

the study, the researcher had the virtual interview with the respondent at Luno camopany
by instant-messaging WhatsApp, WhatsApp video call and Webex to examine the use of
cryptocurrency on Luno company in digital finance technology and to investigate the
impact of cryptocurrency usage in Luno company on digital finance. During the virtual
interviews, screen recordings and personal messages were taken as evidence of the virtual
interviews conducted with the respondents. Everything in virtual interviewsessions was
confidential and will be kept private. The information will be used only forthe aims of the
research.
32
4.2 RESPONDENT PROFILE
The respondents involved in these virtual interviews comprised different

departments. Among the respondents are recycled paper waste managers, recycled
paperwaste staff, sorting staff, operations staff, production managers, and human
resource managers. Interviewing sessions with the respondent in charge as a
manager were more straightforward deal in obtaining information in a shorter time
as compared to a regular employee.
Table 3 shows profiles of respondent.
Respondent Age Position Suggestions Does your Did your feel that
code company involve cryptocurrency
in crypto? brings impact to
digital finance?
I-1 25 Operational • The impact of the • Yes • Yes
cryptocurrency make
different to the digital
finance
• Secure, flexibility and
accessible make the
crypto been acceptance.
• Have to create awareness
about crypto
I-2 27 Operational • Crypto has gained favour • Yes • Yes
because to its security,
versatility, and
accessibility.
• The influence of
cryptocurrencies on
digital banking is distinct.
I-3 27 Operational • It is necessary to raise • Yes • Yes

awareness about
cryptocurrency.
33
• It will help crypto to be

more acceptance and
acknowledge.
I-4 25 Operational • Decentralized is main • Yes • Yes
objective of the crypto
• Digital finance technology
must evolved with the
cryptocurrency like their
security
.
34
4.3 The use of cryptocurrency usage on Luno company in digital finance technology
As specified in Chapter 1, the first objective is to examine the use of cryptocurrency on Luno
company in digital finance technology. The qualitative data were gathered through semi-structured
interviews with the respondents. Furthermore, secondary data and ideas from the conceptual framework
were used to assess and analyse the findings. Furthermore, the following sections were thoroughly
explained utilising an explanation-building analysis. Using explanation-building analysis, the obtained
outcome will be addressed in the following parts.
4.3.1 Exchanger
According to I-1, Luno company have been stated as the platform for the cryptocurrency. The
research conclude base on the respondent that it’s the place where the activities of cryptocurrency
transaction, business based on cryptocurrency, buy and sell happen. The informant said that Luno is
the what called as exchanger. A cryptocurrency exchange is a website where you may purchase and
sell cryptocurrency. The user may utilize exchanges to convert one crypto to another, such as Bitcoin
to Litecoin, or to buy crypto using ordinary cash, such as the US dollar. Exchanges display the current
market value of the cryptocurrencies they provide. User may also swap cryptocurrencies for US dollars
or other currencies to keep as cash in your account (if you wish to trade back into crypto later) or
withdraw to your regular bank account.
When you open an account with a cryptocurrency exchange, you may buy and trade
cryptocurrencies like as bitcoin (BTC), ether (ETH), litecoin (LTC), polkadot (DOT), dogecoin
(DOGE), and others. Depending on the exchange, you may buy crypto using fiat currency such as the
US dollar or trade one cryptocurrency for another. A service is more likely to provide a variety of
cryptocurrencies if it is larger and more established (Sofi, 2022). However, you should double-check
that your selected cryptocurrency is accessible before opening an account. On a crypto exchange, you
may buy crypto using regular fiat cash or trade one coin for another.
I-3 said in the interview, Luno company is the trusted exchanger in Malaysia because of Luno
is an independent operating subsidiary of Digital Currency Group. Digital Currency Group's mission
is to accelerate the development of a better financial system. They do this by building and supporting
blockchain and digital currency companies using their network, insights, and access to capital. DCG
has been the most active investor in the digital currency industry, with investments in over 130
35
companies in 30 different countries, including market leaders such as CoinDesk, Genesis, and
Foundry ( Luno, 2022).
4.3.2 Crypto wallet
According to informant 2, Luno company will give you a wallet digital to store the coint and
pay you’re the interest based on the current form of the coin. Same principle as a bank but little bit
different which is the interest you gain its not the same and it will change based on the current form of
the coin. Crypto wallets keep your private keys safe and accessible, allowing you to transfer and receive
cryptocurrencies such as Bitcoin and Ethereum. They exist in a variety of formats, from hardware
wallets like Ledger (which resembles a USB stick) to mobile apps like Coinbase Wallet, which makes
using cryptocurrency as simple as purchasing online with a credit card. Crypto wallets do not
technically store the cryptocurrency. user assets are stored on the blockchain but can only be accessed
with a private key. user keys validate the ownership of user digital currency and allow you to conduct
transactions. You lose access to your money if user lose your private keys. That is why it is critical to
keep the hardware wallet secure or to utilise a reputable wallet service like as Coinbase.
Cryptocurrencies are not "stored" somewhere; instead, they are pieces of data in a database.
These bits of data are dispersed across the database; the wallet locates all of the bits linked with your
public address and totals the amount for you via the app's UI. These programs make it incredibly
simple to send and receive bitcoin. Various ways exist for sending and receiving bitcoin from your
wallet. Typically, the input the recipient's wallet address, select an amount to transfer, sign the
transaction with user private key, pay the transaction fee, and send it. Wallets are classified into two
types: custodial and noncustodial. A third party hosts custodial wallets and saves your keys for you.
This might be a firm that offers enterprise-level data security technologies that corporations utilise to
preserve and safeguard data. Some bitcoin exchanges provide consumers with custodial wallets.
Noncustodial wallets are those in which you are responsible for the security of your keys. Most
bitcoin wallets on smartphones are of this sort. Wallets are classified into two types: hot and cold. A
hot wallet has an internet connection or is connected to another device, whereas a cold wallet does
not. Finally, there are three types of wallets: software, hardware, and paper. Each of these categories
is classified as either
4.3.3 Launchpad
According to informant 2, A crypto launchpad is a fundraising platform that allows investors to

36
participate in early crypto ventures before they are publicly listed. This allows them to purchase tokens
at a lower cost, maximising their return on investment when the price rises and they sell them later. For
crypto ventures, obtaining funding through a launchpad allows them to access a larger audience of
investors. This prevents a significant amount of their tokens from being purchased by whales and used
in pump and dump scams, causing their token prices to plummet.
A token sale on a launchpad employs a blockchain-based technique to encourage normal

investors to engage in early stage crypto ventures by assuring a more equitable distribution of tokens.
This is because blockchain allows for increased transparency by closely tracking token allocation.
Previously, only venture capitalists (VCs) and other institutional investors had access to this type of
opportunity ( Sashi, 2022). With crypto launchpads, even average retail investors may participate in a
potential business at a modest cost before it goes public and values skyrocket. This more equitable
token distribution also safeguards crypto projects from rapid price drops caused by pump and dump
scams, which whales are notorious for.
Crypto launchpad platforms aim to accomplish two goals: create project money and promote
respectable ideas to their community before they go public. Launchpads strive for the aforementioned
goals by first developing a strong community before attracting respectable projects for crowdfunding
on their platform. The launchpad begins with the formation of a community. Most BSc launchpad
platforms need community members to obtain tokens and may require a stake to participate in
crowdfunding. Several launchpads require users to identify their identities before engaging in any
IDOs or IEOs to guarantee that users are validated. This prevents anyone from gaming the system by
purchasing under many names. Indeed, launchpads examine initiatives and ensure that its consumers
have access to genuine and potentially profitable ventures.
Scams and frauds are readily detected during the screening phase, and the launch pad
cryptocurrency can quickly decline the request to participate in such efforts. As a consequence, by
completing due diligence on their behalf, these platforms save investors time. One of the reasons
launchpads are gaining popularity in the crypto sector is the ability to save time ( Sashi, 2022).
37
4.4 To investigate the impact of cryptocurrency usage in company on digital finance.
As described in Chapter 1, the second objective of this study was to investigate the impact of
cryptocurrency usage in synergy company on digital finance. The qualitative findings were gathered
through semi-structured virtual interviews with the respondents. In addition, secondary data and guided
theories from the theoretical framework were used to analyze and process the results. The following
sections will go over the produced results with thematic analysis.
4.4.1 A Database That Is Distributed
A shared distributed database or ledger across computer network nodes. A network known as
an electronic database for storing data in digital form. For keeping a secure and decentralised record of
transactions, blockchain technology is best recognised for playing a critical role in cryptocurrency
systems like Bitcoin (Adam Hayes, 2022) The novelty of a blockchain is that it fosters confidence
without the necessity for a reliable third party by ensuring the integrity and security of a record of data.
A blockchain, as its name suggests, arranges its data into pieces (blocks) that are connected
together, whereas a database typically organises its data into tables. When used in a decentralised way,
this data structure creates an irreversible chronology of data by design. When a block is completed, it
is irrevocably sealed and added to the timeline. When a block is added to the chain, it receives a precise
timestamp (Jfreda F Brown, 2022). Same as the informant 1 said that the mission of crypto or their
objective is to make a crypto currency decentralized hoping to each of the user hold their currency and
not other third party.
What a network does is enable the distribution of the data stored in that database across several
network nodes located in different places. This not only adds redundancy but also preserves the
accuracy of the data stored there; for example, if someone tries to change a record at one database
instance, the other nodes won't be changed, preventing a bad actor from doing so. All other nodes would
cross-reference one another and be able to quickly identify the individual who tampered with Bitcoin's
transaction history. This approach aids in creating a clear and precise sequence of events. This prevents
any one node in the network from changing the data it contains.
Blockchain or Distributed Ledgers Technology (DLT) enables users to record and share a shared
picture of a system's state over a distributed network, as Sebastien Meunier outlined in his chapter titled
38
"Blockchain 101." This creates limitless opportunities for (1) peer-to-peer value transfers, (2) shared
trustworthy registries as an unchangeable source of truth (which ensures the data's traceability and
auditability), and (3) securely executable contracts through the use of smart contracts. Therefore,
blockchain presents a significant challenge to our current paradigms of regulatory compliance and
regulation.
39
4.4.2 Transmission on peer-to-peer basis

Next, informant 2 also told when two or more PCs are connected and exchange
resources without going via a separate server computer, a peer-to-peer (P2P) network is
established. Ad hoc connections between computers linked by a Universal Serial Bus can
function as P2P networks. A P2P network can also be a permanent setup that uses copper lines
to connect a dozen PCs in a small business. Or a P2P network may be a much larger network
where unique protocols and apps establish direct connections between users over the Internet.
That is what cryptocurrency network been build to stabilized the cryptocurrency been transfer
over the world. Its make more fast and secure.
The initial use of P2P networks in business followed the deployment in the early 1980s of
free-standing PCs. In contrast to the minimainframes of the day, such as the VS system from Wang
Laboratories Inc., which served up word processing and other applications to dumb terminals from a
central computer and stored files on a central hard drive, the then-new PCs had self-contained hard
drives and built-in CPUs. The smart boxes also had onboard applications, which meant they could be
deployed to desktops and be useful without an umbilical cord linking them to a mainframe (James
Coop, 2022).
P2P refers to the exchange of currency using cryptocurrencies, particularly Bitcoin, which
was developed to allow for anonymous P2P transactions that don't need to be processed by a financial
institution. To enable two parties to perform a transaction safely without the need for a reliable third
party, this necessitated the use of encryption and the development of blockchain technology. The
participants engaged in truly peer-to-peer bitcoin transactions are typically not required to produce
identity, ensuring everyone's anonymity. The majority of P2P exchanges allow users to buy
cryptocurrencies using cash or other payment methods that offer privacy protection. But not every
bitcoin exchange operates in a peer-to-peer environment. Numerous them are centralised exchanges
governed by the laws of the nations where members reside. This implies that governments
occasionally demand the exchanges to gather data on users' names and transactions, which has the
effect of eroding the level of secrecy that Bitcoin was designed to achieve (Jake, 2022).
40
4.4.3 Transparency while maintaining a pseudonymous identity
According to informant 3, cryptocurrency have a maintain their transparency, which

means all the transaction the user make can be seen the other user too. This system is different
with the traditional digital finance such as bank online transaction that only the holder and the
bank can seen it. The example situation if the scam activities been happen, the other user can
been alert. Although the transaction can be seen but only the id been shown and the other did
know who exactly the sure its is.
Additionally, blockchain technology has been tested to increase the effectiveness of

conventional payment systems, such as by facilitating interbank settlement or for digital
currencies directly issued by the central bank (Dashkevich et al., 2020). These examples can
incorporate private data, such as the earnings, costs, balances, and turnover of people and
companies, or metadata that shows how frequently people and companies interact ( Johannes
Sedlmeir, 2022).
In the end, robots will be able to keep their own identities and trade value using tokens.
Processes between different machine entities can be made better by micropayments. It is
probably only a matter of time until machines can interact independently with one another due
to the rapid advancements in artificial intelligence and the Internet of Things (Jöhnk et al.,
2021). A blockchain can act as a trust-based platform and infrastructure to enable the
interchange of master data, dynamic data, as well as digital assets amongst such autonomous
agents in the absence of centralised monitoring and decision-making (Schweizer et al., 2020).
Transparency issues appear to be negligible at this point in the development of

cryptocurrencies and other blockchain-based financial applications. According to Biryukov
and Tikhomirov (2019), users' pseudonymous blockchain addresses can frequently be traced
back to real people or organisations. As a result, today's individual users or businesses are
consciously choosing to reveal their transactions and, consequently, their payments,
investments, strategies, and risk exposure.
41
4.4.4 Computational logic
Informant 4 said the digital nature of the ledger means that blockchain transactions can
be tied to computational logic and in essence programmed. So users can set up algorithms and
rules that automatically trigger transactions between nodes. Computational logic is best
defined as the decision-making process included into algorithms. Whether the blockchain is
private or public, computational logic provides for a permissioned or permissionless
experience that is adapted to the needs of the organisation developing on it (bitterex, 2022). At
a high level, it allows participants to define rules that will automatically initiate transactions
between validating nodes. Computational logic is also required for the creation of precise
cryptographic proofs required for blocks to be finished and added to a blockchain.
Miners are those who engage in proof-of-work by operating mining nodes. Miners
validate transactions by hashing them in order to create the cryptographic proofs required to
add a block to the chain (Sarah, 2021). This is accomplished by extensive computation and
competition among nodes. Miners are compensated in the network's native currency for
confirming the correctness of every given block of transactions and so safeguarding the
network.
42
CHAPTER 5
CONCLUSION AND RECOMMENDATION
5.0 Introduction
There are two main objectives of this research which are brings to impact of cryptocurrency
usage toward digital finance technology. To achieve the objective of this study, the researcher has
selected Luno company to conduct this case study. The findings have already been discussed in the
previous chapter and will be concluded in this chapter. In addition, the researcher proposed a new
conceptual framework based on the findings of the study. The concluding section of this chapter also
includes future recommendations for further research.
5.1 Research Objective 1:
In this research, the objective of the first study is to determine whether the characteristics
required can determined on how Luno use the cryptocurrency in their company. Discussing with the
characteristic at the beginning can show us ion how properly cryptocurrency work in Luno company .
The research refer to chapter 4 where the Luno itself is the platform for cryptocurrency to make
it work. as the for research, cryptocurrency itself cannot been doing by their self. It must be have a
platform to exactly exist their data. The conversion of cryptocurrencies for conventional fiat cash is
made possible via a platform for cryptocurrency trading. With the debut of a decentralised
cryptocurrency named Bitcoin in 2009, businesses that run exchange platforms were born. Since then,
a large number of other cryptocurrencies have been introduced, including the second-most well-known
one, Ether, which powers Ethereum, and Bitcoin Cash, which was produced through a Bitcoin Hard
Fork.
43
Based on the discussion of qualitative findings in the previous chapter. Luno is a digital
currency exchange facility that offers clients a technology platform to buy, sell and store digital
currencies as well as pay for products and services using a cryptocurrency wallet. Digital currency is
also known as a cryptocurrency and the two most famous examples are Bitcoin and Ether, the latter
being the digital currency used to power Ethereum.
In summary, the first research objective has been achieved with the core characteristics that
determine on how Luno company use cryptocurrency technology toward digital finance usage.
Referring to the discussion on the characteristics it can be concluded that the characteristics in first
objective is a whole game changer for the world of digital finance. Complexity on their network, work,
technology make the cryptocurrency is the future of the digital finance and slowly take over the
traditional ways.
44
5.2.1 Research Objective 2:
The impact of cryptocurrency on company in digital finance bring a few changes in dimension
of digital finance. In this study, the researcher emphasized that a few point that lead to impact is the
turning point for the digital finance usage in company such as their usage, transaction and the security.
The important of changes or the impact can be seen to delivery the real intention of cryptocurrency
which is to become domain in digital finance instead of traditional digital finance structure and network.
The network that been construct on cryptocurrency powered by or the main system which is
blockchain such a complex and secure in term of their network and much faster and rather than the old
system. Centralization is the main distinction between a blockchain and a database. On a blockchain,
each participant has a safe copy of every record and every update, so each user can see the provenance
of the data, whereas all records secured on a database are centrally located. Since each member keeps
a copy of the data, blockchain technology works its magic whenever there is a discrepancy by instantly
identifying and correcting any inaccurate information. Even if a third party purposefully modified your
friend's watch's time so they would be late, the timing would quickly be checked against everyone else
and adjusted for daylight saving time (IBM, 2020)
A point that been discussed in the previous chapter explain that cryptocurrency offer much more
in term of technology. Additional, when it come to the money, people or user will looked or concern
about the security. How safe their money will become their main priority but certain people look over
on how much useable the system is. Cryptocurrency have a standard on their security level because of
their complexity on their network. In other way accessibility. By incorporating blockchain technology
into the data process, eliminate the DBA as the single point of failure and make sure that any changes
made by one member are promptly reversed by the other participants. The unchangeable record of
modifications will also show which person attempted to make the change once the data automatically
corrects itself. A firm may trust the data supplied by rivals as well as the data shared by the companies
with whom it is doing business if the data process is safe (amanda, 2022).
5.3 Contribution of Study
Numerous appealing characteristics of cryptocurrencies enhance the world economy. These

digital currencies provide a quick and hassle-free means to transfer wealth across nations since they are
45
borderless and decentralised. It is hoped that the speed and accessibility of access would promote
connections, growth, and innovation in both developed and developing nations.
With the discussion in previous chapter. Cryptocurrency also enables those who were
previously excluded from the global financial system to engage in the economy. By utilising blockchain
technology, several nations are already experimenting with "leapfrogging" their financial
infrastructure. User can choose to "be their own bank" by keeping and utilising cryptocurrency in a
private wallet, saving time and effort compared to spending it on the creation of conventional financial
institutions.
Figure 5.1: Conceptual Framework

Source: Proposed by the researcher Muhammad arif zulkamal bin Mohamad shah
(2022)
46
5.4 Future Recommendation
Last, but not least, the researcher would like to offer some suggestions for future studies on this
topic. Researcher wanted to more spread awareness about how important or critical cryptocurrency to
be acceptance by the others to walk through a new era of digital finance technology.
Since this study was conducted from the point of view of business enterprise employees, future
researchers could conduct a comparable study from the perspective of subordinate employees or large
companies.
As a result, future researchers will determine whether the impact of cryptocurrency can be
accepted by other large companies. Finally, this study can be used or developed in similar industries.
Citing an example, future researchers can conduct similar research in government business enterprises
or such as clinics and hospitals.
47
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Tapscott, A., & Tapscott, D. (2017). How Blockchain Is Changing Finance. Retrieved from
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51
Appendix 1: Gantt Chart for PSM 1
PSM 1
Weeks (Target within 16 weeks)
No Activities
. MARCH APRIL MAY JUNE
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
1 Title Brainstorming M
2 Title Selection I
Construct Research D
3 Questionsand Research
Objectives
4 Search for revelant journal S
Write up Chapter 1: E
5 Introduction
Completion of Chapter 1: M
6 Introduction
7 Literature
Review
Completion of chapter 2: S
8 Literature Review
Construct Research T
9 Framework
10 Research
Method
Completion of chapter 3: R
11 Research Method
Construct theoretical
12 Framework
13 Construct Questionnaire B
14 Final Draft submission R
15 Report amendment E
16 Slide preparation A
17 Presentation K
18 Report Submission
52
Appendix 2: Gantt Chart for PSM 2
PSM 2
Weeks (Target Within 18 Weeks)
No. Activities October November December January Februar
y
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18
1 Completion of Question M
Construction
2 Data Collection Through I
Interview
Completion of Data D
3 Collection
4 Data Analysis S
Completion of Data E
5 Analysis
Write Up Chapter 4: M
6 Discussion & Analysis
Completion of Chapter 4: E
7 Discussion & Analysis
Write Up Chapter 5: S
8 Conclusion
Completion of Chapter 5: T
9 Conclusion
Turnitin And Report E
10 Amendment
11 Final Draft Submission R
Final Adjustment and B
12 Document Compilation
13 Slide Preparation R
14 Presentation E
15 Report Submission A
K
53
CONSTRUCTING AN INTERVIEW REGARDING THE IMPACT OF

CRYPTOCURRENCY USAGE IN DIGITAL FINANCE TECHNOLOGY
INTERVIEW TRANSCRIPTION
INTERVIEW ONE
Interviewer: Muhammad Arif Zulkamal (Degree student at Universiti Teknikal

Malaysia Melaka)
Interviewee: Informant one, Amir
Time: 8.30 PM
Date: 3 December 2022
Place: webex
Acronyms: MAZ [Muhammad arif zulkamal]
I-1 Informant One
54
MAZ: I want to thank you for taking the time to provide me an opportunity to conduct this
interview. My name is Nurul Asyiqin Zainuddin and I am taking yours interview for purely
research purpose. Our discussion should take about 15-30 minutes. The purpose of study is to
examine efficiency of high technology application in modern agriculture sector and to
investigate the types of high technology marketing in modern agriculture sector. In this
discussion, we will be talking about the acceptance of high technology marketing in agriculture
sector.
If it is okay with you, I would like to record our discussion to help ensure accuracy. The
recording will only be used to help me to write my report on the finding from this study and it
will be surely stored. Besides me, the only other individual who will read to the transcript is
the supervisor of this study. As soon as the report is completed, the recording will be destroyed.
Would you be okay if I record down this conversation?
I want to remind you that the participation in this study is voluntary. Our discussion today is
confidential in nature and your name will be not be used in our report or any other papers that
come from this study. I also have a form for you to complete which gives me consent to
interview you. Please take a few minutes to read it. Do you have any question before we begin?
MAZ: Do you please help me by providing details about your demographics consisting
your personal details i.e. age, gender, position and other relevant information?
Name Amir bin adi
Age 25
Gender Male
Position Marketing Executive
Does your company involve in Yes

crypto?
Did your feel that cryptocurrency Yes

brings impact to digital finance?
55
MAZ:
How does cryptocurrency works in Luno on digital finance technology?
I-1:” okey regarding to your question yaa mmm actually first you need to
understand that luno is one of a platform for crypto coin or as you call it
cryptocurrency right?. Okey then….. Lets keep it simple, luno have two version
which is Luno Malaysia and Luno Global. The crypto coin in the luno works in Luno
Malaysia are like this. The fund or the money in the Luno will be hold by one
company name by Mtrusty Berhad. If you want to sell your coin, you can just take
out the coin and sell it. After that, as you put the coin its actually you invest in it. so
emmm luno will give you a wallet digital to store the coint and pay you’re the interest
based on the current form of the coin. Same principle as a bank but little bit different
which is the interest you gain its not the same and it will change based on the current
form of the coin. If you think about how come the interest came? Its easy, luno will
use your fund to invest at the other places that we called its as ‘landing’. Yaa that is
the term landing. That the easiest explanation that I can tell you.”
MAZ:
what are the impact of cryptocurrency usage in company on digital
finance
I-1: “ for your second question actually there a lot of thing that I can tell u about.
Mmmm let me think the easiest one…. Okey the first one is cryptocurrency have
their own blockchain system okey? The intention is to make cryptocurrency
decentralized. The good things about crypto is even though the cyrpto is
decentralized which means you the only one that hod the coin, the transaction is still
can be seen by everyone else. Lets say if the scam happening other people will know.
Other than that, it make the thing to transfer the money become easier. For example,
56
if you to send your money to oversea you have to go western union and so on and
they will take you time and charge your higher. But for crypto you have just to know
the id account and can transfer the money just like that!. Easier righ [laugh]. ……
“ okey then I want to recap back about the coint about the security. The data in crypto
currency is not easy to hack that why that not a lot cases the coint been hacked by
hacker because of the transparency. the account will show you just the id number and
maintaining your secret identity”
Transcription symbols
… Small interruptions, pause
“Quote” Quotes
[Laugh] Nonverbal Ques
(Explanation) Additional details
SUMMARY OF INFORMANT ONE’S INTERVIEW

• Luno is the one of the first exchanger in Malaysia for cryptocurrency or coint.
• Luno have two version which is Luno Malaysia and Luno Global.
• Luno fund will be hold by one entity company which is MTruysty Berhad.
• The coint that you save in the wallet digital provide by Luno and pay you the
interest.
• According to him the interest come when luno use the fund to invest at the
other places that called in term landing which is same concept as bank you
the money to invest.
• He believe that message is to make the coin decentralized which means you
the only one that hold the coin.
• According to him, the transparency is the key for its security which means
the activity you make will been seen by the other to avoid scammers.
• The cryptocurrency make the thing easier to transfer the money and it not cost
of your time and also your money.
57
• For the security.
CONCLUSION
• The conclusion from this respondent is Luno is the first exchanger in
Malaysia for cryptocurrency or coint. Furthermore Luno fund will be hold
by one entity company which is MTruysty Berhad and the coin that you
save in the wallet digital provide by Luno and pay you sum of the interest.
The coint that you save in the wallet digital provide by Luno and pay you
the interest. According to him the interest come when luno use the fund to
invest at the other places that called in term landing which is same concept
as bank you the money to invest and also he believe that message is to make
the coin decentralized which means you the only one that hold the coin. Plus
according to him, the transparency is the key for its security which means
the activity you make will been seen by the other to avoid scammers. The
cryptocurrency make the thing easier to transfer the money and it not cost of
your time and also your money.
Thank you so much for your kind cooperation and valuable time.
58

INTERVIEW TWO

Malaysia Melaka)
Interviewee: Informant two , Ismail
Time: 8.30 PM
Place: webex
Acronyms: MAZ, Muhammad arif Zulkamal
I-2 Informant Two
59
interview. My name is Muhammad arif zulkamal bin Mohamad shah and I am taking yours
interview for purely research purpose. Our discussion should take about 15-30 minutes. The
purpose of study is to examine the use of cryptocurrency on Luno company in digital finance
technology and to investigate the impact of cryptocurrency usage in company on digital
finance. In this discussion, we will be talking about the impact of cryptocurrency usage toward
digital finance technology.
Name Mohamad ismail bin hamdan
Age 27
Gender Male
Position operational

crypto?

60
MAZ:
I-1:” Okay, in response to your inquiry, let me get you to the straight point. Actually
first you need to know that luno is one of the platforms for crypto
coin. Futhermore there are two versions of Luno: Luno Malaysia and Luno Global
operates in Luno Malaysia. Mtrusty Berhad will keep the fund or the money in the
Luno under one corporate name. If you wish to sell your coin, simply pull it out and
sell it. After that, when you place the coin, you are literally investing in it crypto
launchpad is a fundraising platform that allows investors to participate in early crypto
ventures before they are publicly listed. So emmm luno will provide you a digital
wallet to keep the currency and will pay you interest dependent on the current form
of the coin. The idea is the same as in a bank, but the interest you get is not the same
and will fluctuate depending on the current shape of the coin. Its straightforward,
luno will utilise your cash to invest in the other areas that we named its as 'landing'.
that is what I can answer your question.
MAZ:
finance
I-1: “ okey first you need to know what is cryptocurrency. Cryptocurrency is one
the form virtual currency that is secured by cryptography. This is the system that
secured the transaction in crypto currency that make crypto impossible to hack
because of the system itself. Most of the coin out there are decentralized network
base on block chain technology. Can you keep up with me?? okey I give you simple
example, just look at the bank that we called centralized network which is your
money that you deposit or take out or transfer everything regulated with the body
which is bank. The bank will keep the ledger about you transaction. The bank will
know you make the transaction from your account to another account. Decentralized
61
is different, theres no central bank!... take noted the different right? Everyone of you
that have to make sure the transaction is happening. So everyone will know….. sorry
lets continue. You transfer the coint from your account, everyone will know. The
transparency that make crypto impossible to hack. That is all about the
cryptocurrency itself that I can answer it”
“Quote” Quotes
SUMMARY OF INFORMANT TWO’S INTERVIEW

• Luno is the exchanger company in Malaysia for cryptocurrency .
• luno will provide a digital wallet to keep the currency and will pay you
interest dependent on the current form of the coin.
• luno will utilise your cash to invest in the other areas that we named its as
'landing'
• Decentralized is different, theres no central bank
• the system that secured the transaction in crypto currency that make crypto
impossible to hack because of the system itself.
• Most of the coin out there are decentralized network base on block chain
technology.
CONCLUSION
• Luno is the exchanger company in Malaysia for cryptocurrency and luno will
provide a digital wallet to keep the currency and will pay you interest
dependent on the current form of the coin. Respondent believe luno will
utilise your cash to invest in the other areas that named its as 'landing' plus
62
decentralized is different, theres no central bank for information the system

that secured the transaction in crypto currency that make crypto impossible
to hack because of the system itself plus most of the coin out there are
decentralized network base on block chain technology.
63

INTERVIEW THREE
Interviewer: Muhammad Arif Zulkamal (Degree student at University

Teknikal Malaysia Melaka)
Interviewee: Informant Three, Aiman
Time: 8.30 PM
Place: webex
Acronyms: MAZ, Muhammad Arif Zulkamal
I-3 Informant three
64
finance . In this discussion, we will be talking about the impact of cryptocurrency usage toward
Name Muhammad aiman bin hakim
Age 27
Gender Male
Position Operational

crypto?

65
MAZ:
I-3:” okey yaa mmm First thing first luno is one of a platform for crypto. Okey
then….. Luno created or prepared a platform to crypto make their work. I give you
the example, Luno is like a bank for crypto. People will put their money in the bank
because of bank have the service to store or cash out the money. Same principle like
Luno and how the crypto work in there , luno will use your fund to invest at the other
places that we called its as ‘landing’. Landing is what the term we called to explain
where the money been going or exactly crypto coin.you can sell, invest and sell the
crypto coin in there. Okey one more, bank has account you have to created right to
store your money? Luno also have same method which we called it as crypto wallet.
That is the place to store your money pay you’re the interest based on the current
form of the coin. that is how the crypto works in Luno Platform”
MAZ:
finance
I-3: “ okey for your second question, what can I tell you about the impact is the
security…. Okey cryptocurrency have their own blockchain system okey crypto
currency is toward to decentralized. Decentralized which means you the only one
that hold the coin, the transaction is still can be seen by everyone else. So its
impossible for the other to scam the other user because everyone will know the
transaction that u made. That is a one of the security that crypto offer. Also when two
or more PCs are connected and exchange resources without going via a separate
server computer, a peer-to-peer (P2P) network is established Beside their own
algorithm make impossible to hack. Okay, now I'd like to go over the coint regarding
security again. Because the data in crypto money is difficult to steal, there haven't
66
been many incidents when the coin has been hacked by a hacker due to the openness.
The account will just display you the id number while protecting your identity
“ okey then , transfer money become more easier. You can just send your money to
other country and no need to go the bank such as western union and so on and they
will take you time and charge your higher. But for crypto you have just to know the
id account and can transfer the money just like that!
“Quote” Quotes
SUMMARY OF INFORMANT THREE’S INTERVIEW

• Luno created or prepared a platform to crypto make their work.
• Luno will use your fund to invest at the other places that we called its as
‘landing’
• Luno also have same method like bank which called it as crypto wallet
• Cryptocurrency have their own blockchain system okey crypto currency is
toward to decentralized
• Crypto it have just to know the id account and can transfer the money
• Their own algorithm make impossible to hack
CONCLUSION
• Luno created or prepared a platform to crypto make their work and Luno
will use your fund to invest at the other places that we called its as
‘landing’. Plus, Luno also have same method like bank which called it as
crypto wallet and also cryptocurrency have their own blockchain system
okey crypto currency is toward to decentralized. Respondent said that
67
crypto have just to know the id account and can transfer the money.
Furthermore their own algorithm make impossible to hack.
68

INTERVIEW FOURTH

Malaysia Melaka)
Interviewee: Informant fourth, Hafizam
Time: 3.00 PM
Place: Al-Falah Restaurant
Acronyms: MAZ, Muhammad arif Zulkamal
I-2 Informant Two
69
finance . In this discussion, we will be talking about the impact of cryptocurrency usage toward
NAZ: Do you please help me by providing details about your demographics consisting
Name Hafizam bin suib
Age 25
Gender Male
Position operational

crypto?

70
MAZ:
I-1:” Okay, in response to your question , let me get you to the straight point. Actually
first you need to know that luno is one of the platforms for crypto coin. Luno actually
is manipulating or make use the crypto by provide a platform for anything activites
related by crypto to happen. This is how the crypto currency in the luno operates in
Luno Malaysia. Luno will keep the fund or the money in the Luno under one
corporate name. The concept is similar to that of a bank, however the interest rate
varies based on the current form of the coin. On how Luno can make a money is
Luno will use your money to invest in other sectors referred to as 'landing'.If you
want to sell your coin, just take it out and sell it. Following that, when you deposit
the coin, you are essentially investing in it So luno will provide you a digital wallet
to keep the currency and will pay you interest dependent on the current form of the
coin.”
MAZ:
finance
I-1: “ the things need to know what is cryptocurrency. Cryptocurrency is one the
form virtual currency that is secured by cryptography. This is the system that secured
the transaction in crypto currency that make crypto impossible to hack because of the
system itself because of digital nature of the ledger means that blockchain
transactions can be tied to computational logic and in essence programmed. So users
can set up algorithms and rules that automatically trigger transactions between nodes.
The majority of coins on the market are decentralised networks based on block chain
technology. Decentralized is distinct in that there is no central bank. Everyone of you
must ensure that the transaction takes place. As a result, everyone will be aware. If
71
you transfer the coint from your account, everyone will know. The transparency that
renders cryptocurrency unhackable. This is everything about the cryptocurrency.
“Quote” Quotes
SUMMARY OF INFORMANT FOURTH’S INTERVIEW

• Luno is one of the platforms for crypto coin.
• Luno actually is manipulating or make use the crypto by provide a platform
for anything activites related by crypto to happen
• Luno can make a money is Luno will use your money to invest in other
sectors referred to as 'landing'
• When deposit the coin, you are essentially investing in it
• Luno will provide you a digital wallet to keep the currency
• digital nature of the ledger means that blockchain transactions can be tied to
computational logic and in essence programmed
• Most of the coin out there are decentralized network base on block chain
technology
CONCLUSION
• Responde said that Luno is one of the platforms for crypto coin and for
Luno is actually manipulating or make use the crypto by provide a platform
for anything activites related by crypto to happen. Plus respondent believe
that Luno can make a money is by Luno will use the money to invest in
other sectors referred to as 'landing'. For the information, when deposit the
coin, user are essentially investing in it. Respondent also said that digital
nature of the ledger means that blockchain transactions can be tied to
72
computational logic and in essence programmed. Luno will provide you a

digital wallet to keep the currency and lastly, most of the coin out there are
decentralized network base on block chain technology
73

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Faculty of Technology Management & Technopreneurship

THE IMPACT OF CRYPTOCURRENCY USAGE TOWARD DIGITAL

MUHAMMAD ARIF ZULKAMAL BIN MOHAMAD SHAH

Bachelor of Technology Management (High Technology Marketing) with

Name of Supervisor : MDM. AZRINA BINTI OTHMAN

Name of Panel : DR. NORHIDAYAH BINTI MOHAMAD

MUHAMMAD ARIF ZULKAMAL BIN MOHAMAD SHAH

Faculty of Technology Management and Technopreneurship Universiti Teknikal

Name : MUHAMMAD ARIF ZULKAMAL BIN MOHAMAD SHAH

This thesis is dedicated:

To my beloved supervisor, Madam Azrina Binti Othman, who has guided me

Finally, I want to express my gratitude to Universiti Teknikal Malaysia Melaka

Keyword : Cryptocurrency, Digital Finance

Kata Kunci: Mata wang Kripto, teknologi kewangan digital,

CHAPTER TITLE PAGE

CHAPTER 3 RESEARCH METHODOLOGY

CHAPTER 5 CONCLUSION AND RECOMMENDATION

TABLES TITLES PAGES

FIGURES TITLES PAGES

APPENDICES TITLES PAGES

1.2 Background of study

In other word, cryptocurrency is a new system that can be used or mimic as a

Diagram 1.0 : Example of cryptocurrency working method

(Source: Jefferey Mazer, 2020).

1.3 Conceptual & Operational Definition of Study

ii) Operational Definition

As a result, to grab the understanding of cryptocurrency usage it has to

potential commercial value production through digital financial applications,

may participate in a potential business at a modest cost before it

1.4 Problem statement of study

The research is concerned with the new phenomena of cryptocurrency.

Beside that, Blockchain was initially created as the technology underlying

Blockchain is a game changer in this case. Blockchain enables models of peer-to-

In addition, identity and reputation, transporting value (payments and remittances),

1.5 Research Question

RO1 : To examine the use of cryptocurrency on Luno company in digital

1.7 Scope of Study & Limitations of study

In addition, unless the infrastructure supplying these technologies is widely expanded,

1.8 Significant of Research

2.1 Cryptocurrency Technology

In addition, on elliptic curve kind of public-key cryptography depends on mathematics

Cryptocurrency marketplaces have a combined market capitalization of roughly $190

Diagram 2 : Example total market capitalization and volume of cryptocurrency

(Source: Fang et al., 2022)

2.2.1 Proof of Work (PoW)

2.2.2 Proof of Stake (PoS)

2.3 Digital finance Technology

2.4 Impact of Cryptocurrency usage toward Digital Finance Technology

2.4.1 A Database That Is Distributed

2.4.2 Transmission on a Peer-to-Peer Basis

2.4.3 Transparency while maintaining a pseudonymous identity

revealing themselves to others by providing evidence of their identity.

2.4.4 Computational Logic

2.6 Conceptual Framework

USE OF THE IMPACT OF CRYPTOCURRENCY

Exchanger 1 A Database That Is

Wallet 2 Transmission on a Peer-to-Peer

Launchpad Transparency while maintaining a

1.(Matthew Sparkes, 2019)

According to Saunders et al. (2019), research methodology is a process that should

3.1 RESEARCH DESIGN

It is a wide technique for connecting conceptual research challenges to relevant and

Only a few competencies are needed to conduct exploratory research according to