The British Pound Sterling (GBP) is the official currency of the United Kingdom and is used as a global reserve currency in international financial markets. It is used as a medium of exchange for investments and for transactions in the global financial markets. The GBP is used to buy and sell assets such as stocks, bonds, commodities, and currencies. It is also used as a hedge against currency fluctuations, allowing investors to protect their investments from adverse market movements. The GBP is seen as a safe-haven currency and is used to diversify portfolios, providing portfolio protection and stability.