Crypto Academy Contest / S2W1 - How Cryptocurrency has Shaped the Financial Realm. What is Its Future? by @samarthgupta24.

Hello Steemians how are you all I hope you all are doing well so friends basically in this I will tell you about the How Cryptocurrency has Shaped the Financial Realm. What is Its Future so without wasting any time let's get start this with the same energy and same intensity.

1.) What is Cryptocurrency?

In this modern world we all people know about the Cryptocurrency so it is a digital currency and it is designed in a way to work on exchange through a computer network and it is a decentralised network.

It is based on a blockchain technology and also Cryptocurrency makes payment easier because you send and receive payment at any part of the world like when you don't use this you go to the bank daily for the payment but payment is not made so your so your time is wasting.

when you use this so you send and receive the payment at any place and you don't want to go to the bank it save your time that's why it is good and it is a peer to peer system and all the entries of this is recorded in the public ledger.

Now you thinking how it work it is so easy people buy the coins such as Bitcoin, Litecoin, Ethereum and they wait until the price of these coins is increase.

when the price of these coins is increase so they sell these and make more profit basically they buy these coins in the low pice and they sell in high price.

that's why they make more profit this is a very easy process but the main thing is you have to wait until the price is high and no matter when price is low so wait for the price and one more thing don't be greedy.

Example

Bitcoin, Ethereum, Litecoin, Ripple etc.

2.)Draw a comparison between cryptocurrency and conventional currencies.

Before telling about its comparison let me tell about it now Cryptocurrency is a digital currency and it is a peer to peer system and it is a decentralised network and based on a blockchain technology I have told about it in the first question, so now I will talk about the conventional currency.

Conventional currency is a traditional currency and it is a type of money that is centralized and it is control or manage by a government entity.

so now we will talk About the comparison of these two currencies so let's begin and some example of conventional currency is US Dollars, British Pound and Indonesian Rupiah etc.

Comparison of Cryotocurrency and Conventional Currency.

Source

Source

- CURRENCY TYPE

So basically Cryotocurrency is a type of currency which can not be printed and meaning of this is we can't be print the Cryotocurrency on the paper but we create it virtually.

On the other side we talk about Conventional Currency so conventional currency can be print on the paper and it is control and manage by the government.

- CENTRALIZED OR DECENTRALIZED.

Cryptocurrency is a Decentralised network it is not control by any one it is a computer based system and conventional currency is a centralized network it is controlled by the government.

USES

Uses of these both Currency are same these both are use for buying and selling buying like items and selling also so uses are same.

- WORK'S UNDER SOMEONE

Cryptocurrency does not work under anyone, it remains free me meaning of this is they are not attach to the government or politics and About the conventional currency they attached to the government and work under the government and politics.

3.)Explain the distinctive innovations of cryptocurrency and its downsides.

Every Single thing in the world have his positive effect but if you consuming it more and more so the positive effect is change in to a negative effect biggest example of this is the medicine if you are suffering from a headache and you consume a medicine and then you started consuming medicine daily so this cause a very big problem so every thing have a advantage and disadvantage and also When we leave our phone on for a long time and continuosly so it damage our eyes and also mobile phone have a advantages and it also have a disadvantages.

Innovations of Cryptocurrency

Fast payments

In this you send and receive your payments with the help of Mobile phone,Computer and Laptop at any part of the World and without going to the Bank and without wasting any time.

Decentralized

This is not control by any other person like conventional currency is control by the government but cryotocurrency is not control by the government this is independent the decentralization helps to keep currency monopoly free.

Secure

Cryotocurrency is safer than the other online transactions it have blockchain ledger which have a so many mathmatical puzzle and it is hard to solve and for the better security they use pseudonyms for better security.

Limitless Transfers

In cryotocurrency there is no limit to transfer amounts you transfer the amount whole day and at any time there is no limit in conventional currency there is limit to transfer the money because it is controlled by the government.

Downsides

Illegal transactions

In cryotocurrency the security is so high so no one can break the security of the Cryotocurrency so the people use cryotocurrency for the Illegal transactions like they buy drugs and other transactions and government is facing a problem to find the payment of these things.

Data loss

There is a risk of data loss we all know that the no one hack the Cryotocurrency so how data loss if the person forget the Private key so the data will never come back again.

High consumption of Energy

High consumption of Energy in this we need a very big and advanced computes for this and also we need electricity to run the computers and this is very costly process.

Risk of loss

Now meaning of this is there is a risk of money loss if the price of the coin is not increase and it is decreasing continuously so there is a very big loss of the people who buy more coins.

4.)How do you think major problems with cryptocurrency can be handled? Let this be a response to the downsides highlighted earlier.

As we know all things have a problem every single which have a good and also have a bad things so we talk about the problems of the Cryotocurrency.

• So before starting I am talk about luna it is a very good coin and I also buy this coin and problem of this coin was not to be dissapear because many people have been harmed due to the departure of this coin So here they should put a limit in which the price should fall as much and no one should suffer a loss and I know this coin is a small coin but this is for every coin there should a limit.

• The other problem is they need to increase the security of it because this is a open process the data of the people's is easily stole by the hacker so they need to increase the security like bank, bank have very good security system hacker's can't hack them easily.

• There should be a limit in the falling of price of coin so this make people happy those buy coin on the risk like luna we know the price of the luna is continuously falling and after it dissapear so there should be a limit according to me.

• In this when the person lost his private key so the data of that person is totally lost so in they think more About it when data is lost so how to bring back the data.

5.)Do you believe in the future of cryptocurrency? State your reasons. Any Recommendations?

Yes I believe in the future of cryptocurrency it have a very big future this is the only thing which make people rich so fast if you have more knowledge about the Cryotocurrency so use your know in this because cryotocurrency need knowledge and knowledge it is only thing which make people intelligent and this make people a successful person in every field we need knowledge like I am a fitness freak so in this field The amount of knowledge you have in this field is considered to be less so get more knowledge.

Now future is the government also take a part of this because the government make a law in this and they try to make a that type of law that reduce the risk of investing in the Cryotocurrency and all over the globe government find a law.

• Its future should be bright because it is very easy method you send and receive your transactions easily with the help of Mobile phone Computer and Laptop at any part of the world and without wasting any time and without going to the Bank.

• This is Decentralized system and this make it very good than other things all people that everyone can see where his assets are at each point.

• Another reason is the security, security of this is very High no one can hack this so that's why the future of Cryotocurrency is bright.

Thank You!