Learning the friendly way

The post-pandemic working world is a different place entirely. These days, many people have given up their nine to five jobs to work from home, joining the gig economy where projects are more short-term and schedules are flexible. After all, all one needs is a reliable internet connection and a space to work.

These temporary projects allow for more freedom when it comes to creative license, time constraints and living a life best suited to the individual. And they just got a whole lot easier thanks to the electronic cash system that is Bitcoin (and other crypto assets).

The Gig Economy Meets Blockchain

There are plenty of upsides to working in the gig economy, most notably that you can pick your own hours. As you are in control of your schedule you can choose your vacation times, you’re your own boss, and you get to choose what jobs you take on.

In the UK alone the gig economy between 2016 and 2019 doubled in size, equating to a staggering 4.7 million workers. Meanwhile, in the European Union, the number of freelancers rose by 24% between 2008 and 2015, from 7.7 million to 9.6 million people.

The U.S. Bureau of Labor Statistics reported that 36% of all employees in the United States are part of the gig economy, approximately 57 million people. Unfortunately of these 57 million, 58% reported that they have not been paid for work that has been completed. 

This problem could be solved through the use of blockchain and smart contracts. Smart contracts are digital agreements that automatically execute once the criteria have been met. Say you agree to complete a project within a certain time frame, once the project is completed and submitted, the payment is released. No need to request or accept payment, the funds are cleared and deposited directly into the relevant account.

Another positive to merging the gig economy with blockchain technology is the use of cryptocurrencies. 

4 Reasons Why Getting Paid In Crypto Just Makes Sense

While smart contracts would need to be made in order for them to smoothen out the wrinkles of unpaid jobs, cryptocurrencies are available right now. The benefits of crypto transactions when it comes to working remotely just make sense.‍

1) Cryptocurrency transactions are fast and cheap
‍While the thought of using Bitcoin payments might sound scary, they are in fact incredibly simple to send, receive and withdraw. With the use of blockchain technology and the Bitcoin network, international transactions can be completed in minutes with considerably fewer fees. Not just Bitcoin, all digital currencies for that matter.

All you need to do is pick a cryptocurrency, share your wallet address and wait for the crypto transaction to clear. Through the Tap mobile app you can then use the funds to pay bills or sell them for fiat currencies and send them to your personal Tap account to spend as you please or directly to your bank account. 

2Anyone can make crypto payments
‍While opening a bank account is typically a very tedious task, opening a crypto account is very easy. Anyone anywhere in the world can easily create an account, add funds, and start transacting. As the network is entirely digital, employees and employers based anywhere in the world can tap into this and effortlessly make crypto payments.

3) You can work from anywhere
‍On that note, cryptocurrencies give you the freedom to work anywhere in the world as there are no constraints on receiving payments allowing you to sell your skills in the global market. There has also been an increase in jobs looking for freelancers that are willing to accept Bitcoin, goodbye central banks and hello digital assets‍

4)Low transaction fees make small jobs worth it 
‍If you've ever been hesitant about accepting small jobs, this is the one for you. When small jobs pay less, the payments might frequently be entirely overwhelmed by the transaction fees associated with receiving your payment for the job.

That is not the case when it comes to some cryptocurrencies, with Litecoin for example charging merely $0.02 per transaction. 

How To Get Paid In Cryptocurrencies

If you’ve decided to take the plunge, you can either request that your employer pays in crypto, or specifically look for crypto-paying jobs (more on this below). The next step is to set up an account from where you can receive said crypto.

The Tap mobile app will tick all the boxes, and opening an account is incredibly simple. First, you will need to download the app and then register. You’ll be asked to fill in some personal information and then verify your identity with a government-issued identity document. This is all very normal and is required by law. 

Once you are verified, head to the home page, select the Crypto wallet and choose a cryptocurrency you would like to receive / the cryptocurrency you will be paid in. Then select Receive and send the wallet address to your employer/contractor. You will get a notification when the funds arrive in your account. 

If you’re looking for jobs that specifically pay in crypto, look to Purse.io, Ethlance and Coinality. These are part of the gig economy and pay in cryptocurrencies. Good luck out there, it will 100% be worth it!

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Used across both the crypto market and traditional stock markets, return on investment (ROI) is a financial measure used to calculate an asset's growth and efficiency over a period of time. This useful measure has been used for decades to determine the success of one's investment.

In this article, we'll help you learn how to calculate the ROI on your investment so that you can implement it across your portfolio to determine your successes. Understanding your assets' ROI might lead to improved sales and revenue and solve a problem that many traders face time and time again.

Many businesses offering trading services might include a project ROI in their monthly or annual report to a customer, illustrating the successes of the site in black and white figures. However, be cautious when a company uses a set amount of return on investment statistics in their advertising, not even the top trading experts are able to predict with exact certainty the events, analytics and metrics that will take place in the future.

How To Calculate ROI

Bear with us as this gets slightly technical, it will all make sense in no time. This formula essentially revolves around determining the overall profit or loss one has made from a particular investment. 

The formula used to determine ROI is ROI = (FVI - IVI) / IVI * 100%. In this formula, the FVI stands for the final value of an investment while IVI stands for the initial value of an investment.

Looking at a practical example, say you bought $1,000 worth of Bitcoin in January 2020 when it was trading for $8,807. Two years later you sell your Bitcoin in January 2022 when it was trading at $43,704 for $3,960.

In this scenario, the IVI is $1,000 while the FVI is $3,960. ROI = (FVI - IVI) / IVI * 100% translates to:

ROI = (3,960 - 1000) / 1000 * 100%

ROI = 296%

This equation is considered a base formula as it does not include additional factors like fees and expenses incurred when storing the asset. In order to establish the true ROI on your investment, you would need to determine what additional costs were incurred (transaction fees for example) and use the following formula:

ROI = (FVI - expenses - IVI) / IVI * 100% 

Additional Elements To Consider When Calculating ROI

One thing that ROI does not factor in is the risk associated with the asset. For example, higher ROIs typically come with higher risks while assets with lower ROIs typically hold a much lower risk in terms of gaining returns. 

This holds true in the crypto market where new coins can suddenly soar in price creating a strong ROI for those that invested early. However, this ROI data will not be the same for an investor that enters the market at a later stage, and the risk will be much greater. Be wary of analysts using ROI statistics in digital marketing to make far-fetched conclusions about an asset's future success. Always use Google as a tool to verify the information, particularly for smaller coins.

Another limitation of this approach is that time is not taken into consideration. For instance, if your investment appreciates from $100 to $150, the ROI will always be 50% whether this happened over one year or ten years. This issue can be solved by using another formula, known as the annualized ROI. 

What Is Annualized ROI?

This method illustrates the standardized annual rate of return on investment by considering the investment's tenure, providing insight into the money an investment product has yielded over a certain period of time. This formula will calculate the investment's average performance each year over the entire period. 

The formula for annualized ROI is Annualized ROI = ((1 ROI) 1/n - 1) * 100%. Here, n represents the number of years of the investment. 

Using the latter example above, your $100 growing to $150 will present an annualized ROI of 50% for one year while the ten year annualized ROI is 4.14%. A substantial difference, and one you wouldn't pick up on from using the standard ROI formula. 

What Is Bitcoin's ROI?

As the world's first cryptocurrency, Bitcoin has seen some incredible increases in price. Analysts often use the formulas outlined above for tracking the digital asset's short-term, medium-term, and longer-term ROI. 

As of January 2022, these ROIs are calculated using the trading price of $43,834.36 (at the time of writing). 

Short-term - 1 year (January 2021)

BTC Price: $33,922.96

ROI = (43,834.36 - 33,922.96) / 33,922.96 * 100%

ROI = 29.29%

Medium-term - 2 years (January 2020)

BTC Price: $8,807

ROI = (43,834.36 - 8,807) / 8,807 * 100%

ROI = 3,977.21%

Longer-term - 5 years (January 2017)

BTC Price: $818.41

ROI = (43,834.36 - 818.41) / 818.41 * 100%

ROI = 5,256.03%

These are wildly impressive results, particularly when compared to the traditional stock markets. Excuse us while we go question our personal ROIs for our crypto investments.

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Know your customer also known as "KYC" is a regulatory requirement imposed by the Financial Crimes Enforcement Network to combat money laundering, terrorism financing, and fraud prevention. The requirements for KYC are determined on an industry-by-industry basis. Fintech businesses and the Bank sector typically requires KYC of customers who open a new account with them.

KYC ensures that financial institutions know their customers' identity well enough to understand where funds came from for deposits or how payments will be made before starting to use the company's services. KYC is an efficient first line of defense in combating terrorism financing by verifying customer identities to help identify any potential links to terrorist organizations, bribery, corruption, individuals with a history of money laundering.

KYC is an important measure in anti-money laundering regulations, making it a safety guard for cryptocurrencies. Financial institutions and regulated service providers such as Tap boast robust KYC process to protect our consumers so that you can feel more confident that your funds will remain secure no matter the business environment circumstances.

How does KYC work?

Within the Finance sector, any company or project must meet strict rules and regulations that require to have rigorous identification checks (also called regulatory compliance) such as verification of address information, validation of residency status. Apart from verifying a customer's identity, it's also important to confirm the user's location and address. Your identity documents will provide basic data like your name and date of birth, but more is needed to establish your residence, for example.

During a standard Know Your Customer process, you will be asked for several documents:

-A proof of identity ( such as passport, ID card, driving license)

-A proof of residence

-A selfie (to prove that it's you)

The KYC must be completed at the initial stage as well as on an ongoing basis so that businesses can deliver services or goods to clients. It is a best practice for any business offering financial services to re-verify the identity of their customers at regular intervals to ensure AML. Sometimes new customers have to go through several steps of verification before they can start any financial transaction/investment using the service of the company.

KYC Around The World:

KYC regulations can vary from country to country, but there is a lot of international cooperation on the basic data information needed. For example in America, KYC and AML processes are driven by financial crime prevention legislations such as The Bank Secrecy Act (2001) and Patriot Act (2006). In Europe, KYC compliance regulation falls under EU Anti-Money Laundering Directive with PSD2 providing additional regulatory guidance for all countries within the Union. Internationally however it's been agreed that FATF should coordinate multinational cooperation when it comes to regulatory conditions.

The Benefits: 

In spite of the time it takes to set up accounts, KYC identity verification is worth it when taking into account the benefits, keeping your funds safe, protect you from identity theft, fraud, and other illegal activities is largely the result of robust KYC control. These procedures ensure that financial service providers are not only safe but trustworthy. Trade Crypto with Confidence with regulated companies like Tap boasting robust KYC procedures to safeguard its customer assets and information.

In short: KYC is a common regulatory requirement that financial service providers are obliged to fulfill in order for businesses to operate under the law and consumers should take KYC seriously. KYC requirements differ across the financial sector. It is a necessary measure in anti-money laundering regulations, making it an important safety guard for cryptocurrencies as well as customer assets by preventing fraudulent activity. KYC in the Fintech or Bank sector is generally imposed on new customers who open a new account.

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When referring to the yield on an investment, this indicates the earnings generated over a certain period of time. It is generally presented in percentage form and includes the interest or dividends relevant to the initial investment. 

While returns are calculated using the difference in value at two specific points in time, the yield will calculate the total (net) value earned over a period of time. This provides an invaluable tool in helping you understand the potential value of an investment. 

Basic yield is calculated as the net realised return divided by the initial investment amount. For example, if an investor bought $100 worth of Bitcoin which grew to $2,000 in the next year, then the formula would look like this:

$1,900 / $100 = 19
-> which translates to 1900%. 

There are several different formulas based on the type of yield you wish to calculate. These include:

• Yield on Stocks
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• Yield on Bonds
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• Yield to Maturity

• Yield to Worst

• Yield to Call

A high yield isn’t necessarily a good thing. Should the market’s decline or the company pays out high dividends the yield will still reflect as high. Always do your own research when considering an investment, or trust a financial advisor. 

Bienvenue dans le monde délicieux des cookies ! Mais attention, nous ne parlons pas de ces douceurs sucrées que vous grignotez à l'heure du thé. Nous sommes ici pour lever le voile sur les mystérieux et ô combien importants cookies qui existent dans l'immense paysage de l'internet. Ces cookies ne sont pas tangibles, ils sont plutôt de petits morceaux de données qui se promènent dans le cyberespace, façonnant et améliorant votre expérience en ligne. Dans cet article, nous décomposons ce que sont exactement les cookies et comment ils impactent nos interactions en ligne.

Que sont les cookies ?

Ces merveilles numériques jouent un rôle vital dans l'amélioration de nos expériences en ligne. Alors, que sont exactement les cookies et pourquoi votre ordinateur les stocke-t-il ?

Lorsque vous passez d'un site web à un autre, votre ordinateur conserve un petit fichier au nom de chaque site que vous visitez. Ce fichier est le cookie. Le nom "cookie" vient en fait d'un terme de programmation appelé un magic cookie, inventé par le programmeur Lou Montulli, et ajoute du piquant à vos aventures en ligne.

Mais pourquoi les ordinateurs stockent-ils ces petits fichiers ? Les cookies aident les serveurs web à se souvenir de vous, assurant une expérience de navigation fluide et personnalisée. Disons que vous effectuez une action sur un site web, comme passer en mode sombre ou vous connecter avec vos identifiants. Votre ordinateur prend note de cela et sauvegarde l'information dans un cookie.

Lorsque vous revisitez ce site à l'avenir, votre ordinateur restitue l'information stockée dans le cookie au site web. C'est comme si votre ordinateur agissait en tant qu'assistant utile, rappelant au site vos préférences, vos paramètres sauvegardés, et même les articles laissés dans votre panier d'achat virtuel.

En résumé, les cookies permettent une expérience de navigation fluide et sur mesure.

Les différents types de cookies

Comme pour leurs homologues en pâtisserie, tous les cookies ne sont pas créés égaux. Chaque type remplit une fonction unique dans l'amélioration de votre expérience en ligne. Voici une décomposition des variétés de cookies les plus courantes :

Cookies de session

Ce sont des cookies temporaires qui existent uniquement pendant votre session de navigation. Ils conservent des informations sur vos activités sur un site web, assurant une navigation fluide. Une fois que vous fermez le navigateur, les cookies de session disparaissent, ne laissant aucune trace derrière eux.

Cookies persistants

Contrairement à leurs cousins éphémères, les cookies persistants restent même après la fermeture du navigateur. Ils stockent des informations comme les détails de connexion ou les préférences, rendant vos visites ultérieures plus personnalisées et pratiques.

Cookies de première partie

Ce sont des cookies créés par le site web que vous visitez. Ils aident à se souvenir de vos préférences et paramètres, rendant votre expérience de navigation plus fluide.

Cookies de tiers

Ces cookies proviennent de sources externes, souvent intégrées dans le site web que vous visitez. Ils suivent vos habitudes de navigation, permettant aux annonceurs de diffuser des publicités ciblées en fonction de vos intérêts.

Consentement aux cookies et ces bannières pop-up

Lorsque vous visitez un site web, vous avez peut-être remarqué ces bannières ou pop-ups de consentement aux cookies qui réclament votre attention. Il s'avère qu'elles sont assez importantes. La mise en œuvre de ces notifications aide les sites web à se conformer aux réglementations sur la protection des données et à respecter votre vie privée.

Elles jouent également un rôle vital pour aider les utilisateurs à comprendre l'importance de donner leur consentement et à être conscients de l'utilisation de leurs données. Ainsi, la prochaine fois que vous rencontrerez une bannière de consentement aux cookies, souvenez-vous qu'elle est là pour protéger vos droits et assurer la transparence dans le monde en ligne.

Comment les cookies suivent et analysent votre navigation

Les cookies sont devenus un outil puissant pour suivre et analyser le comportement des utilisateurs sur les sites web. Ils permettent aux propriétaires de sites web de recueillir des données analytiques précieuses et de comprendre les modèles et préférences des visiteurs.

En utilisant des cookies, les administrateurs de sites web peuvent suivre le nombre de pages vues, surveiller le temps passé sur leur site et approfondir leur compréhension de l'interaction des visiteurs avec différents éléments. Ces données les aident à optimiser leurs sites web, à améliorer l'expérience utilisateur et à adapter le contenu aux préférences de leur audience.

De plus, les cookies jouent également un rôle crucial dans la publicité ciblée, permettant aux marketeurs d'afficher des publicités basées sur les habitudes de navigation et les intérêts des utilisateurs. Ainsi, la prochaine fois que vous rencontrerez une publicité personnalisée, vous pourrez remercier ces petits, mais puissants, cookies pour leurs aperçus astucieux.

Comment vous pouvez gérer vos cookies

Gérer et contrôler les cookies vous donne plus de contrôle sur votre vie privée en ligne. Grâce aux paramètres du navigateur, vous pouvez choisir d'accepter, de rejeter ou de supprimer les cookies. Prendre le contrôle de vos préférences en matière de cookies vous permet de personnaliser votre expérience de navigation et de limiter les données collectées par les sites web.

De plus, divers outils de gestion des cookies sont disponibles, facilitant la manipulation des cookies sur différents sites web. Il est important de comprendre les implications de l'acceptation ou du rejet des cookies, car cela peut affecter la fonctionnalité du site web, les expériences personnalisées et même la pertinence des publicités. Trouvez le bon équilibre qui convient à vos préférences en matière de vie privée et à vos besoins de navigation.

Conclusion

Dans l'immense royaume de l'internet, les cookies sont les héros méconnus qui rendent nos expériences en ligne fluides et personnalisées. Ces petits fichiers, stockés par nos ordinateurs au nom des sites web, jouent un rôle crucial dans le souvenir de nos préférences, paramètres et actions.

Ainsi, la prochaine fois que vous rencontrerez une bannière de consentement aux cookies ou que vous remarquerez la personnalisation d'un site web, vous saurez que tout cela est dû à ces petits mais puissants joyaux numériques appelés cookies.

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In this article, we delve into the distinction between revenue and profit, essential for businesses aiming to thrive financially. In a nutshell, revenue represents the total income generated from core operations, while profit is what remains after deducting all expenses. Join us as we explore the nuances between these two crucial concepts and their significance in business success.

What is revenue?

Revenue represents the total income earned by a business through its core operations, such as sales of goods or services. It can also be referred to as the top line of an income statement. It's essential for covering expenses, investing in growth, and generating profits.

Revenue comes from various sources like product sales, service fees, subscriptions, licensing, and advertising. Understanding and managing revenue streams are crucial for sustaining operations, attracting investors, and ensuring long-term viability in competitive markets. Thus, revenue serves as a vital performance indicator for businesses of all sizes and industries.

What is profit?

Profit refers to the financial gain a business achieves after deducting all expenses from its total revenue. On an income statement, profit is typically known as net income, however, the term "bottom line" is more commonly used.  Profits appear on an organisation's income statement in a variety of ways and are used for various purposes and are a key metric indicating a company's financial health and efficiency.

There are two main types of profit:

Gross profit

Gross profit equals revenue minus the cost of goods sold, which consists of the direct material and labour expenses related to creating a company's products.

Operating profit

Operating profit equals gross profit minus other business expenses that are associated with running the company, such as rent, utilities, and payroll.

Essentially, profit is calculated by subtracting total expenses from total revenue. It's vital for business sustainability, expansion, and rewarding stakeholders and accurately measuring and maximising profit margins is essential for achieving long-term success and competitiveness in the market.

Revenue vs profit

When people refer to a company's profit, they are usually referring to the net income, which is what's left after expenses. It is possible for a company to make money but still have a net loss.

In an example below illustrating the importance of understanding revenue and profit, say a company producing light bulbs makes $10 million in the income generated. This sounds great, however, if the company's core business operations and debt add up to $12 million, the company is making a loss. Let's take a look at this example in greater detail below:

Business revenue or Total Net Sales: $10 million

Gross Profit: $4 million (total revenue of $10 million minus COGS of $6 million)

Operating Profit: $2 million (gross profit minus other business expenses such as rent, utilities, and payroll)

Profit or Net income: –$2 million (illustrating that the company is making a loss)

Profit will always be lower than revenue as this amount is determined after deducting all the operating and other costs. 

A look at expenses

Operating expenses, including salaries, rent, marketing, direct costs, and utilities, which are necessary for day-to-day operations, and non-operating expenses, like interest payments or one-time costs, can impact profitability differently. By adequately controlling all expenses, businesses can maximise profit margins, reinvest in growth initiatives, and provide returns to stakeholders.

Overspending on unnecessary costs or failing to budget properly can significantly reduce profit margins, hampering long-term success. Therefore, monitoring and optimising expenses are integral parts of financial management strategies aimed at ensuring profitability and competitiveness in the market. With an effective strategy in place to measure and manage expenses, the price of goods and total sales will hopefully increase. 

The importance of financial metrics

Financial metrics encompass a range of indicators used to assess a company's performance, including revenue growth rate, profit margin, and return on investment (ROI). These metrics provide insights into the effectiveness of business operations, helping organisations gauge their financial health and make informed decisions.

For instance, the revenue growth rate indicates the pace at which a company's sales are increasing over time, while the profit margin measures the proportion of revenue that translates into profit. Additionally, ROI assesses the efficiency of investments by comparing the gains or losses relative to the initial investment, aiding businesses in evaluating their investment strategies and maximising returns.

How to measure business performance

Measuring how well a business is doing means looking at both its revenue and profit. Revenue is all the money a business makes from selling things, while profit is what's left after taking away all the costs. By finding ways to make more money and spend less, a business can increase its financial health. Keeping an eye on important numbers like sales growth and profit margins helps a business see where it's doing well and where it can improve. This helps the business stay strong and competitive in the long run.

In conclusion

Companies base their success on two very important metrics: revenue and profit. While revenue is referred to as the top line, a company's profit is what really matters and is referred to as the bottom line.

It is crucial for investors to take both revenue and profit into account when making investment decisions, and to review the company's income statement in order to get a full view of the company's financial health.

In conclusion, revenue is the income a company makes without factoring in expenses such as debts, taxes, and other business costs. Profit, on the other hand, factors in all company expenses and operating costs.

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