Steemi Crypto Academy Contest | S2W1 | How Cryptocurrency has Shaped the Financial Realm , What is it's Future | by @sitaraindaryas

Hello it's me Mahnoor and i am also take part in steemit engagement challenges on steemit crypto academy community.

As you now in which my contest post i am discuss about this topic "How Crypto Academy has Shaped the Financial Realm, What is it's Future?"

^{Crypto Image Source}

Here let's see in the below in which i try to write these following questions and try to write about good of this wonderful topic.

World of Cryptocurrencies

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The world of Cryptocurrencies is a wonderful technology that is use in cryptography as a basis, hence part of his name is “crypto”. This is to ensure it's transactions, it's transparency and to the verify the authenticity of the transactions. On this way, the cryptocurrencies us the part of a world currency system, which the seeks to offer high transparency, high security and generally provide a decentralization, in the order to offer the financial system that is not to under to the control of a one central person or in entity.

The world of Cryptocurrencies can be a transferred to the different digital wallets like our Bitcoin wallet or steem wallat an binance and the record of our transactions is safely stored the blockchain, this is record of public transactions, which is provides as a greater layer of high transparency. And in the Similarly , the world of Cryptocurrencies having a fluctuating value that is the depends on the supply and it's demand. In the addition toabove, the most cryptocurrencies are part of a system that uses a consensuses protocols to validated in the blocks that are the generated in the blockchain in which it is belongs. Among of the most of famous cryptocurrencies in the crypto world we can find Bitcoin , Ethereum , Gold , and BNB and among some others.

On the other words there is the less volatiled cryptocurrencies which are the associated with the price of the another “stable” assets, and sometimes the linking said the cryptocurrencies with the fiat of money. such as some examples of stable coins are the USDT, and the BUSD, and some among others.

Draw Comparison Between Cryptocurrency & Conventional Currencies

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Here, now lets see in the below the difference between Cryptocurrency and conventional Currencies.

Crypto Currencies	Conventional Currencies
The cryptocurrencies have many Centralized and decentralized exchanges such as , Binance Wallet	The conventional Currencies have only decentralized exchanges .
The cryptocurrencies used a Blockchain technology for stored transactions	The conventional Currencies is didn't used the Blockchain technology for his transactions.
The cryptocurrencies is a virtual assets that can not be touched physically.	The Conventional Currencies is access to through the bank & other financial organizations of different countries.
Cryptocurrencies can only access by different exchanges like binance	The conventional Currencies can be access through bank and different financial organizations.
There is secure and safe in digital wallets	And the conventional Currencies is safe in bank account.
The Cryptocurrencies are the volatile and they raise and fall in minutes.	And the Conventional Currencies are not be volatile.
There is no more chance to hack our cryptocurrencies	The conventional currencies have a chance of hacking .

Now let's move on my next step or the answer of my next question.

Explain the Distinctive Innovations of Cryptocurrencies and it's downside

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High Transparency & blockchain

In the crypto world the cryptocurrencies is provide the layer of high transparency through having all operations of public and being be able to observe the one of them at any time or place.

High Security & Cryptography

And its is also provide high security and cryptography that is the cryptocurrencies come with the validation mechanisms which offer a high security and the also thanks to cryptography that we have an a extra layer that is allows us to encrypted our data in an optimal and the precise way.

Decentralization

We eliminate the dependency on the central entity and a possible corruption & misappropriation of the funds that can be occur with our crypto assets. And on this way we can also a prevent to our funds from thebeing held by a third party or third person and they we can be actually access them in the cleaner way.

International asset exchange

As long benefit as the other person have access to a valid wallet, like on binance they can trade his assets with the anyone else at anywhere in the world at international level

Transactions without intermediaries

On the crypto world the Cryptocurrencies is make a peer-to-peer assets to transfer possibles, the eliminating the need for an any intermediary.

Dowsides of cryptocurrencies

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Risks the losing of funds due to the poor management of wallet

Similarly to access wallet you can use your private keys that is so long and very difficult to memorize such as our steemit wallet keys so then you can easily forget and lose your keys or passwors and thus if you lose or forget access to your money. On the other hand or third party. if you are store keys somewhere, then it may be happen that your private keys is stolen and also with your funds in your wallet.

Higher volatility

And for this Something that the characterizes cryptocurrencies is they are usually very highly volatile digital assets, and they can have abysmally variation from the one day to a next. There is the great and heavy risk of losing a lot of money that you have on your wallet and that depending on the assets that you have invest in it and there is the also a possibility of making a lot of money for third party, but it's something that is very difficult to know about this.

Scalability issues

On the Decentralization system and it's high security mean that has many blockchains are not a very scalable, so when your network is reaches on a large number of the users, so they it cannot be a respond and the process transactions is efficiently.

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How do you think major about problems with cryptocurrency can be handled?

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Risks of losing funds due to poor management of the wallet

As i mentioned on my upper paraghraph on crypto market we have Chance to loss our password or keys and know the best way to keep save and handle this disadvantage is to save and secure our private key on an other external device such as a pen drive but you can also save on your Gmail account, and possibly it would be a good to have a copy of it on anotherdrive to have for backups, in this way our private keys would not be physically in our hard or device and there is less to risk of forgetting and losing our keys.

Higher volatility

This is also a main problem and somewhat difficult to control as the market crash is very much driven by traders or investor's sentiments and can also be
a largely controlled by the whales. So asides from raising awareness to the among peoples they entering in the crypto world, and there is a little that can not be done from my perspective. And to another way to deal with this high volatility is to diversifying our cryptocurrency portfolio and use it stable cryptocurrencies.

Scalability issues

On the crypto world the networks with the scalability issues like in the blockchain and ethereum are making a progress on face this problem with the development of layer 1 and layer 2 solutions.

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

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First of all for this question i would like say that I believe that the cryptocurrencies are part of the future of finance and it is a business therefore I believe on the future of cryptocurrencies. And in the below explaining in detail the bases of my reasoning to believe and support the future of cryptocurrencies that we have the following.

Cryptocurrencies provide transparency and security.

First of all this is my main reason to believe and support the future of crypto market because we have a public registry of my transactions, and in turn the data recorded on the blockchain cannot be a modified, if we add to all this then the security is provided by decentralization system we have an optimal technology for our financial system.

Mistrust on centralized systems

This is my 2ud reason to like and support crypto market because the Clcorruption and the lack of trust on centralized systems has forced us to look at for alternatives, which is why to projects that is related to blockchain and the our financial field have had a great greater development in few recent years. Now e having a system through which to the exchange value without the interference of third person or parties and having total control on over all our assets.

Conclusion

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At the end of my post i would like to write on my conclusion of this wonderful contest is this contest was very interesting because since it is allowed me to develop and share my ideas about the cryptocurrencies and evaluate their impact on the financial field, to be able and to see the potential of all the technologies behind it and thus they notice the great impact it can have for the financial area on the future. Thank you so much to all team for make this wonderful contest.

Kindly Regards,
@sitaraindaryas