Hello everyone how are you all hope so everyone is well and good so friends today i will be presenting my homework of Steem Crypto Accademy by professor @levycore.

Question 1:

What is the basic difference between cryptocurrency and conventional financial systems?

Answer 1:

There has been always a debate regarding the superiority of cryptocurrency over the conversational financial system and people believe that cryptocurrency can stand alon and it is the future and that is true but survival of cryptocurrency without the financial system is completely baseless and probably not possible.

So there are many differences which make them completely opposite to each other are and some of the basic information are:

• Financial systems are being controlled by the huge entities such as banks, government and they have the complete over it where as there is no one who can control the cryptocurrency it is just an set form of algorithms which works on server and no can have a complete control over it.
• In the financial system those big entities can print as much money as they can as it is within there hands but in cryptocurrency the supply of cryptocurrency is pre decided and are fixed for example:- btc, xrp, steem. The list is endless.
• The volatility level of a cryptocurrency is very huge and if someone is looking towards storing it's value so it is not at all possible but with the financial system it comes with the guarantee that it would not lose it's value apart from the inflation.
• Storing of cryptocurrency is quite complicated as this is the new thing and many factors need to be taken care while storing it but still one can easily understand with his due deligence where as the storing of currency in financial system is a complete offline process where you can easily get your account open and save it.
• The transaction in cryptocurrency are very safe and no one can track it while in the financial system it is all transperent and anyone with proper authority can easily track it.
• The transaction speed is much faster with the cryptocurrency where else the transfer of money through financial system depends on so many factors which makes it a very time taking process.

Question 2:

Why is a decentralized system needed?

Answer 2:

The need of decentralised was needed just because the old financial system fails to meet the current demand in what so ever way you may say though it be giving 24*7 service or charging of huge fees for transferring of funds so hear is why it is needed:

• As i mentioned the service timing in any of the financial system is very limited but wheres in decentralised system it is almost 24*7 without even a single day break but still you can see some server down time but that is also very rare.
• With the growing information and knowledge no one want an control over them which is only possible with the decentralised system and this is something decentralised system fails to do as it requires people to authorise everything whatever you do while with decentralised system it does not require any of the manual authorisation as it is a pre set algorithm which makes it's running possible.
• Decentralised system works with an end to end encryption which makes it very secure as you can not do scam as the encryption is end to end.

Question 3:

What affects the value of cryptocurrencies ?

Answer 3:

There are many factors which are responsible for the price of cryptocurrency some of them are:

• Demand and Supply this is something which is common with anything which has value as with the high demand comes the high price and so on.
• Influence of Big People Cryptocurrency has always been shaken by the words from the big guys with huge followers which you can see if you have been following cryptocurrency since a long time even in recent times you can see how Elon has manipulated it by changing his statement time in and again.
• Whales whales are non other than group of people holding some huge amount of bitcoins those who are in a position to easily manipulate a market while creating unwanted selling pressure just like demand supply but with an unnatural one.

Question 4:

Why can't everyone be a miner?

Answer 4:

Mining of cryptocurrency is a very complicated and expensive process making it a very difficult work for the majority of the people and some of the reasons behind it are:

• It requires lots of Heavy Machineries with some powerful graphic cards making it powerful enough to mine a cryptocurrency.
• It is Very Expensive which makes it out of the reach of the majority.
• It requires Technical Expertise too for making an cryptocurrency mine which is not possible with everyone.
• It requires a 247 Electricity* which is still a next very big challenge in many places also the unit consumption is really very huge.

Question 5:

Why can Cryptocurrency transactions be called more transparent?

Answer 5:

Cryptocurrency is known for its transperency as anyone can verify it using certain websites which makes it completely transparent also for every chain there are seperate websites where you verify it for example eth, tron, steem they all have some dedicated sites from where you could easily verify it which makes it very transperent.

All the transactions get reflected on the site with the address attached to it though the identity in anonymous but still makes it very transperent.

Question 6:

Explain how the development of cryptocurrency in your country?

Answer 6:

Cryptocurrency is developing with different pace in every country or we may say the acceptance of it is growing at a different pace and as far as India is concerned the things are going in a positive way as the stand of government is not at all clear which makes it even more difficult for the new people to enter hear with the fear of some extreme steps which might be taken by the government.

Still no one can denies the fact that it is the future no matter how long a country takes to adopt it but sooner or later everyone will as there are many countries which have approved it making very great option for the general public.

I think it will take atleast 5 to 10 years for the entire world to accept it or it might happen very soon too but no one knows exactly how much time will it take.

Thanks friends have a great day ahead.