Introduction

Life in modern times has improved compared to the way it was in the past.

Communication and actions are quick and consistent. Travel and movement have

become rapid and secure. Work became easy, interaction has increased in pace. Many

people cannot be detached from advances of technology. Technology, which is useful, is

designed to eradicate boredom and to access information. Everybody is trying to

compete with time to make the most of every opportunity. Most people use technology

in various forms, e.g., online banking, phone banking, online remittance. On the other

hand, not all people can cope up with technology. Some still prefer to pay cash in

groceries while others pay with their debit/credit cards. Payment system has been

implemented since time immemorial. From the use of Barter trade up to the use of gold

as a medium of exchange up to the use of coins. Eventually, the use of bank notes as a

legal tender dominated government transactions for centuries. Indeed, innovation is a

part of human condition. Even the wheel, as simple as it is, is being re-invented. Today,

only three (3) percent of US Dollar supply is made out of physical currency. The other

ninety-seven (97) percent essentially exist in computers alone. Even our country is

adapting to these changes despite the fact that we belong in a third-world country.

Online banking played a large role among the Filipinos now more than ever. It was the

refuge of the people during the pandemic wherein they don’t need to go to banks or even

at ATM centers. Nevertheless, we are still far behind with regard to monetary evolution.

Way back in 2009, a new type of currency was invented: Cryptocurrency.

The overall purpose of this study is to answer a question: Is it important for

accounting students to be aware of the existence of cryptocurrency and how it works?

The researchers do not intend to dig deep to the world of cryptocurrency but just to

analyze if the respondents have an iota of knowledge regarding this digital currency.

The researchers will only focus on the accounting students in Balanga City, Bataan.

Business establishment around the city will be observed to strengthen the argument that

the study of cryptocurrency is of importance for accounting students. Furthermore,

considering that this system has been existing for more than a decade, the researchers

also aim to determine the impact of cryptocurrency, if any, to the people of Balanga City,

Bataan.

Cryptocurrency consist of almost ten thousand (10,000) different types as of

February 2022. However, the researchers will focus on the two (2) most popular

worldwide: Bitcoin and Etherium. Cryptocurrency biggest difference to other currency

is that there is no government that regulates it. Also, it does not depend in any

economy of any country. It only depends on one thing: demand. Before Bitcoin became

famous worldwide, it was widely used as a currency to buy merchandise in the online

black market since no government or central bank can regulate or monitor it. It is also

considered as the most secure type of currency in the world because all transactions

where it is being used is imprinted on the currency itself. Nevertheless, it is also the

most volatile currency ever created. Thus, researchers believe that accounting students

must delve somehow into cryptocurrency to at least grasp its concept because it has a

huge potential to affect the future of how businesses are being conducted.
 Researchers cite some of its related literature that supports their belief that

cryptocurrency should be look upon by accounting students. To wit:

According to an anonymous member of Strategic Business Reporting examining

team (2021), There are many issues that accountants may encounter in practice for

which no accounting standard currently exists; one example is cryptocurrencies. For

example, as no accounting standard currently exists to explain how cryptocurrency

should be accounted for, accountants have no alternative but to refer to existing

accounting standards.

According to Smith S. S. (2018), Cryptocurrencies and other digital assets are

items that are attracting the attention of students, faculty, and institutions — and for

good reason. Accounting students, the future leaders of the accounting profession, are

entering a workplace in the midst of a radical disruption, and one that is increasingly

digitized in nature. They realize that virtual assets, including bitcoin and lesser-known

currencies such as Ripple and ether (the cryptocurrency associated with the Ethereum

blockchain), may soon redefine how business is conducted across industry lines.

According to Dr. Smith S. (2021), Cryptocurrency continues to develop and

evolve at an accelerating rate, and it can be difficult for even the most motivated

practitioner or business professional to keep pace. No single article, no matter how

comprehensive or well-written, is going to be able to encapsulate all the changes in this

fast-moving sector. That said, there are a few big-picture trends and developments that

every CPA should know. Clients, both now and in the future, are increasingly going to

expect practitioners and advisors to be well informed on these issues.

Scope and Delimitation

The general intent of this study is to know the possible effect of the

cryptocurrency to the accounting standard. Also, this research study yearn to determine

the awareness of the accountancy students to the cryptocurrency.

To address the general objective of the research study, the researchers used

survey questionnaires to see the possible effect of the cryptocurrency to the accounting

standard and determine the awareness of the accountancy students to the

cryptocurrency. This research study is limited to ten respondents who are accountancy

students of different school in Balanga City, Bataan. The researchers believe that they

possess all the necessary information needed.

Locale of the Study

The study will be conducted in the different schools in Balanga City, Province of

Bataan which offers Bachelor of Science in Accountancy program. Balanga is the capital

town of Bataan and is located 124 kilometers away from Manila. We can reach Balanga,

Bataan via 2 major roads which are the National Road and the roman Superhighway.

Balanga, Bataan covers an area of 16,560 hectares which makes it the third largest

municipality in the province of Bataan having 23 Barangays.

Statement of the Problem

This study aims to know the possible effect of the cryptocurrency to the

accounting standard and also to determine the awareness of the accountancy students to

the cryptocurrency.

Specifically, the study sought to answer the following questions.

1. How may the cryptocurrency be described in terms of;

1.1 Exchange Rate

1.2 Valuation

2. How many encountered cryptocurrency in terms of;

 2.1 Earned from cryptocurrency

2.2 Bought merchandise using cryptocurrency

3. How cryptocurrency affects Accounting in terms of ;

3.1 Accounting standards

3.2 Accounting procedures

4. How may the people living in rural and in urban places differ in terms of:

4.1 Awareness in Cryptocurrency

4.2 Utilization of Cryptocurrency 

Significance of the study

This study is deemed significant to the following:

Accountancy Students. As for the students, this study will be helpful in

providing baseline information regarding what cryptocurrencies are. The result will also

reinforce valuable information to shed light on the possible impacts of cryptocurrencies

on the accounting procedures and this study will evaluate the accountancy

student’s awareness and approach regarding the topic understudy.

Future Reserachers. As for the future researchers, they can benefit by the

study because it will serve as a guide, a tool and reference when conducting researches

which has relevance to the study.

Hypothesis

Alternative. The proponent assume that Accounting Students’  are aware of

cryptocurrency in terms of valuation, exchange rate and the possible impacts of

cryptocurrencies on the accounting procedures. 

Null. The accounting students inside Balanga City are not aware of

cryptocurrency in terms of valuation, exchange rate and it has no possible impacts on

the accounting procedures.

Definition of terms

Cryptocurrency- a digital currency in which transactions are verified and records

maintained by a decentralized system using cryptography, rather than by a centralized

authority.

Barter- the action or system of exchanging goods or services without using money.

Volatile- liable to change rapidly and unpredictably, especially for the worse.

References:

https://www.bataan.gov.ph/city-of-balanga/#:~:text=Balanga%20is%20the%20capital

%20of,the%20province%20with%2023%20barangays.

https://sites.google.com/site/peacekeeperbalanga/contact-me