Although a foreign exchange transaction can involve any two currencies, most transactions involve pounds on one side.

a. True

b. False

The statement is b. False.

As the statement says, any two currencies can be involved in foreign exchange transactions, but the Pound is not a must, and is only used when a company from a country that uses the Pound as a currency is involved. Much more dominant and broadly used are the Dollar (the USD more specifically) and the Euro for example.