Steemit Crypto Academy Contest / S2W1 - How Cryptocurrency has shaped the Financial Realm. What is its Future? by @chiabertrand
Hi everyone, I welcome y'all to S2W1 of the engagement challenge contest in the SteemitCryptoAcademy. For this first week, we will be discussing on "How Cryptocurrency have shaped the Financial Realm and it's future". So I will be discussing on this topic with the guidelines of the following questions. Without wasting any time, let's get started
Cryptocurrency can be divided into two words, which are Crypto which was gotten from a greek word Kryptos which means Secret and Currency which act as a medium of exchange between goods and services. Cryptocurrency doesn't exist in physical form because it's built on a blockchain technology which is existing only online and it is also traded only online through a computer network hence making it not to be issued by any central authority
Cryptocurrency can be referred to virtual or digital currency that secure its transactions in the form of cryptography hence not having any regulating authority because it uses a decentralized system in keeping record of every transaction. All cryptocurrencies generally have values that are equal to the standard FIAT currency of any nation and are generally accepted by everyone who uses it
We can still define cryptocurrency as a decentralized currency which usually operates with the help of a secured distributed ledger which is stored in a decentralized peer-to-peer network.
In general, cryptocurrency works only in a decentralized system and its transactions are extremely very fast, reliable and highly secured.
The history of cryptocurrency began in 2008 by a group of people with a general name as Satoshi Nakamoto and was implemented in 2009 as an open-source software and BITCOIN was the first cryptocurrency hence known as the mother of cryptocurrency today because it's the top highest cryptocurrency with value
When we talk of comparism, we are talking of both differences and similarities. So I will be giving both similarities and differences between cryptocurrency and conventional currencies.
Cryptocurrency and conventional currencies can all be exchanged between two parties and can be divisible hence act as tore of value
Both cryptocurrency and conventional currencies's value are accepted worldwide hence their values are more credible because they are generally accepted
Both currencies can be use to in carrying out buying and selling of goods and services
| Cryptocurrency Currencies | conventional currencies |
|---|---|
| Uses Blockchain technology in carrying out transaction hence making it very transparent | Uses a banking and inhouse method in carrying out transaction hence making it less transparent |
| High speed of transactions | It's transaction speed is very slow |
| It works in a decentralized system hence not owned by a central entity | It works in a Centralized system hence managed and control by a central entity such as a bank |
| It is highly secured | it is less secured |
| It is not legal in some Countries | It is highly legal in all Countries |
| It operates with the use of P2P model of network system hence no 3rd party involved | 3rd party involved when carrying out transactions |
Since they evolution of cryptocurrency, they have always been a lot of Innovations every blessed year which I will briefly be explaining some of this innovations below 👇
A) Decentralization: This simply means having control of its own money. When transactions are carried out, it doesn't necessarily needs a 3rd party such as a bank or government. This innovative nature is pretty cool because it has shifted the financial power which was solely control by the central banks and the government.
B) High level of Privacy: it ensures confidentiality and impartiality of users that are involved in any transactions because it has added another layer of protection in the advance technology which was already secured.
3) High Level of Security: There Is high level of security during transactions which helps protect funds and all transactions are being recorded and stored as a result of Blockchain technology. This innovative feature is very important to the Blockchain technology
D) Less Risk Involved: There is no risk involved here since all transactions are being secured by Blockchain technology hence very difficult to be involved in any fraudulent transactions as the Blockchain is Decentralized
Though cryptocurrencies are extremely very important with so many disadvantage, we should also know that they are downsides. Below, I will be giving the downsides involved in cryptocurrency
The first thing I will always talk of is how transactions is irreversible here. Once a transaction Is carried and send to a wrong address, there is no way one can ever retrived back the funds especially if it's an unknown address. Here, once you make a mistake in wallet address, the funds will automatically be send to that wrong address and it will totally be impossible to ever recover back the funds.
Another big problem here is that one can lost his account forever if he/she mistakenly loses his keys because it can't be restored or retrived again. Unlike the central system that an account keys can be recovered if should incase one forgets the keys. This is very bad because we have to protect our keys and passwords so much that we should never dare to forget it, or else we automatically lost our accounts forever. This has caused alot of people to lost huge sum of money
Another aspect of crypto downsides is how it's market value always fluctuate(highly volatile). However, though it doesn't rise forever or fall forever, this has also caused people to lost huge sum of money as a result of crypto fall(instability of price) since crypto price is highly volatile and doesn't stays forever in one position
Cryptocurrency can also face cyber attack which means it is not totally 100% secured. This can happen at times if one exposes his/her password information to the public by clicking on certain fishy links send by internet fraudster
It's good to know that we can prevent this drawbacks and downsides In crypto by our selfs. I will be explaining some simple ways that we can handle this major problems in cryptocurrency
The first thing here is about it's irreversibility of funds when send to wrong address. We should always endeavor to double check the wallet address before sending any funds to it. Once we double check this address several times, I think it will totally be impossible for us to send funds to wrong address during transactions
Another major problem that can easily be handled is storing or saving our account keys offline. We should never endeavor to serve our keys online like In our email, google drive and other online means because this can all be hacked by fraudsters. Once hacked, all our funds can be stolen
We should also endeavor to write down our keys on a peace of paper and probably secure it next to our precious documents offline. When this is done, it will totally be impossible to ever lost our accounts forever.
Since the crypto is very volatile and instable, we should always carry out good analysis(both fundamental and technical) before entering the market to invest so as to avoid huge losese. Once we have a Great knowledge on fundamental and technical analysis, it will be very difficult for us to encounter losses in a crypto market though it happens at times, but very rare.
Sine cryptocurrency can be attack by cyber criminals, we should ensure to protect out computers with updated strong antivirus to help dictate any unusual activity in our computer. This will help in protecting and securing our funds as well
I am a strong fan and lover of cryptocurrency and "YES" I do believe in cryptocurrency. I have made alot of investment in crypto currency which shows that I do believe in it. I believe so much that crypto will so a lot better in future and we have seen how it has grown I'm recent years, I believe it will continue growing in future.
We have seen that cryptocurrency is very good means of carrying out financial transactions because of how fast, accurate and secured it is. During transactions, there is no 3rd party like the bank or government that is involved hence making the system to be reliable and convenient
We have seen the advancement of technology as the entire world is moving closer to a new era, there will be time that everyone will embrace the usage of crypto currency instead of the conventional currencies as the whole world be involved in cryptocurrency. It is even happening now as we have seen some countries that uses crypto as another means of payment which is very useful because of how fast, secured and reliable it is. So I do believe so much in the future of crypto currency
We have seen how a lot of users have lost very huge sum of money during transactions as they make mistakes see sending the funds to wrong addresses as a result of not double checking the address number. I have been victim of this not once, not twice. So I will recommend the crypto developers to develop a means by which something can be done to recover back funds if should incase it was send mistakenly to a wrong address. This will help recover back funds send to wrong addresses
In this article, I have given a brief understanding about cryptocurrency, it's differences and similarities between the FIAT currencies, it's innovative natures and it's downsides. I have also explained how major problems with cryptocurrency can be handled by giving several points. I hope this will help guid most of you as far as cryptocurrency is concerned. We should know that cryptocurrency is here to stay forever and it will soon overcome FIAT currency worldwide. So I do believe in the future of cryptocurrency
Thanks so much for your time everyone, I am inviting my fellow friends @tangwe-rene, @tenguhatanga, @wyzcekunited, @monjuapollonia, and @echamroland to come and participate in this amazing contest
My regards : @chiabertrand
That the best thing about crypto currencies is that it really improve privacy and freedom so whenever or however the account owner want he can do as he like with out the interference of a center node who always monitor people account in the centralized platforms like Facebook and Instagram
Thanks for sharing such quality post, wishing you success.
Hello brother, thanks for the engaging visit to my post.
This is one of the most important things I love about crypto currencies. Again, it's transaction rate is also very fast and highly secured
Cryptocurrency is the future finance. Like you, I am also anticipating the time when developer will create a system that will enable users to reverse transaction in a situation where funds were sent to the wrong address, like the way it is in the traditional banking system.
Very informative post you have made here. Thank you
Well let's all anticipate and wait for the right time when crypto will rule over the world and outshine the conventional FIAT currency because I believe so much In it.
Thanks so much for this positive and engaging visit dear.
This is really a valid point. A friend lost a good amount of his bitcoin when his system was infected with a Malware. They stole his lifesavings. I always ensure that I use a great antivirus. I run regular updates too. In this way, I am able to fend off any potential threats.
You made a great article here. Wish you all the best in this contest @chiabertrand
I'm so glad you socumed to this my point brother. I'm so sorry to hear what happened to your friend as all his funds where stolen as a result of weak antivirus that was in his computer. I'm so much sure he learned from it and he protects his computer now with strong and updated antivirus.
This is great of you. With this, I'm so much sure all your funds are 100% very secured. I don't also joke when it comes to securing my funds because I constantly update my computer antivirus when it's almost outdating
Thanks for acknowledging my article and thanks for passing by. Greetings sir
This is also one of the major downside I talked about and it simple solution as rightly saidis to double check before sending. Due to some users rush, they ignored the fact to cross check and confirm the address before sending.
If they eventually send to the wrong address then will be looking for who to blame it on and it 100% thier fault. I hope we become more patient and do things gently.
Yes brother, the only solution to this downside is to always double check a wallet address atleast 2 to 3 times before initiating a transaction. I have fallen a victim of this 2 times as I did a rushing transaction and ended up sending funds to wrong address. However, I have learned to be patient when doing any transaction so as I could avoid any loses
Thanks for the engaging visit brother
Very impressive entry bro. I appreciate your thought about the cryptocurrency and also the downsides of the cryptocurrency are briefly mentioned in this post. You are very well with the knowledge of the cryptocurrencies and their working in the blockchains.
This is really a true issue that the cryptocurrency space has been facing since its creation. I have also experienced a huge lose of a valuable account by losing my private keys.
Thanks a lot for sharing your post and I wish you all the best in the contest.
I'm glad you went through my article and you found it to be useful and word learning to you.
This problem has caused a lot of people to lose their funds during transactions as they send funds to wrong address. I have lose funds on two occasions as a results of my mistake. I hope crypto developers look into this and make a way possible for funds to be reversed if mistakenly send to wrong address
Thank you so much for this fine visit to my post @steemdoctor1
Yes brother you are absolutely right. The solution for this prob is that the developers should develope a mechanism in which they have to check the activity or validity of the entered address. If wrong, then the address will automatically be detected. Thus, the users have an action to cancel that transaction.
Greetings.
The only setback that crytocurrency has is the fact that it is not wide accepted and regulations in some countries aside that it is best to use crytocurrency as it is the future and forever
Yes you are correct brother, though it's not accepted in some Countries, I do believe that it will soon be accepted in all countries in the world because it will soon take over the conventional FIAT currency
Thanks for dropping by
I am100 percent with you in this, with time I believe the world will agree on the use of cryptocurrency as a general medium of exchange
Writing down our keys offline is sure the best way to secure them. Cybercrime is at its peak nowadays.
The accuracy and fastness of cryptocurrencies can't be overemphasized and I will give in my best to learn this trading too.
The future is crypto and the earlier we start initiating it in our various businesses the better for the awareness too
Best of luck dear
Exactly my dear. The best way of securing our funds and our account is to store our keys offline and if possible we write it down then photocopy and keep the paper safe
Thanks so much for visiting my post dear
This is the amazing part like so much. To be honest, lot of traders jump into crypto market without understanding this particular downside. I believe me those panic sellers are under this sent of people. I'm happy you pin-pointed this downside of the cryptocurrency.
Bro, being a strong fan and lover of cryptocurrency is just now oooo😏, because something happens bad in the future in the crypto world i hope you can still say this "I am a strong fan and lover of cryptocurrency and "YES" I do believe in cryptocurrency." Well, I love your courage and your post is nice. Steem on bro. Diho cares.
Yes I also have alot of belief on the cryptocurrency because crypto money changed the life of lot of peoples in the world. Many people are become millionare with the help of crypto trading. They earn a lot of money from it. I also invested more than 1500 dollors in the crypto money. According to my thoughts its future is very bright.
Yes this problem can also be solve if users checked the reciever address 2 or 3 time before sending the cryptocurrency. But I think blockchain developers should also develop a refund policy in this way we are more secure.
Thank you very much for a detailed overview on cryptocurrency. Best wishes for the contest my dear brother.
Regards:
@malikusman1
Steem Greetings brother
Woow I'm happy hearing that you also believe in the future of crypto and you have invested over $1500 into crypto. I'm in thesame page as you and I have invested over $1000 as well. I know this investment is gonna yield fruits in future
Yeah you are right bro and I also gave it as one of my recommendations in crypto currency. If this issue is handle, people won't lose their funds again if should incase they send funds to wrong address
Thank you so much for this positive visit to my post brother