Crypto Academy Season 3 Beginners' course - Homework Post for Task 1: [Cryptocurrency]
Homework Task.
(1) What Is Cryptocurrency and How You Would Like To See Cryptocurrency In The Feature?
Created by spyrex
INTRODUCTION
Trading transactions can be traced as far back as the stone age. Humanity has gradually moved from the trade by batter transactions to monetary transactions and right now, a new dawn has approached.
Due to the technological advancements over time, the 21st century brought forth another method to carry our transactions “crypto currency”. As crazy as it sound this is the future of the global market as we know it and already everyone is slowly getting used to it and no matter how much its refuted , its popularity and advances keeps on increasing.
WHAT IS A CRYPTOCURRENCY?
A cryptocurrency is a digital currency or token of some sort which can be used for day to day transactions like buying and selling. Its intangible(not physical) but digital assets which can be transferred over digital devices such as mobile phones or computers. Its faster, easier and reliable. Since its a digital currency many may ask “is it safe?”
We’ll thanks to the block chain network and its decentralized nature. Transactions are secure and impossible to access except from the sender and the recipient.
The block chains are made up of blocks filled with data such as “transactions details”. The blocks get filled up and eventually makes up chains. Each blocks are sealed with unique hash codes. The more the blocks on the network the stronger its security hence it’s impossible to penetrate.
Cryptocurrency transactions dont have any central server , due to its decentralized network every computer and mobile devices serves as one
Hence it has no particular single server, this ensures secure transactions .
CRYPTOCURRENCY VS TRADITIONAL BANKS
Traditional banks are the day to day banks you see around you. People save money and make transactions on it. For hundreds of years, the world has come to understand and rely on the traditional banks. Although they now face a threat “the introduction of cryptocurrency”
You see unlike cryptocurrency , transactions in traditional banking cants be made directly through the sender and recipient. It must go directly through the bank.
For example. If I want to send $1000 to my brother outside the country. Ill have to go tothe bank and fill in slips or forms and deposit the money before my brother could recieve it. The banks act as a third party for any transactions to be made. Whereas in cryptocurrency, i could just make the transactions directly to my brother with just some few clicks off my phone or laptop.
Furthermore you stand a chance of getting higher transactional charges off bank than transactions than crypto transactions.
Crypto transactions are faster and easier to operate. Another major point which has drawn so much attention towards crypto currency is it fluctuations in value.
Saving your money in bank with an expected increase in returns is usually based on the rate at which the fiat currency has grown or your subscription with your bank. Either ways it’s doesn’t amount to how much a crypto bull could get you, saving your money in a crypto wallet could guarantee as faster boost in profit as more investors keep pouring into the market.
Advantages and disadvantages of cryptocurrency
| . | Advantages | Disadvantages |
|---|---|---|
| 1 | Possible increase in returns | Risk for potential and large losses |
| 2 | secured and untraceable transactions | Misused for illegal and black market transactions |
| 3 | offers grater liquidity | doesn’t offer refunds |
| 4 | its intangible and hence cannot get lost easily | you stand a chance to loose it all without your public or private key |
How i would love to see cryptocurrency in the future.
Already, what has long thought to be the future is already in progress. With the introduction of the first crypto project, “the bitcoin” the rate at which the crypto market has blown is surprisingly impressive. Although it poses a threat to some institutions who wouldnt want to see it succeed just because it doesn’t favor them, the public at large seems to think otherwise.
Cryptocurrency had made alot of people millionaires and billionaires. Due to its advancement, as of today there are “BITCOIN(a cryptocurrency)” ATM’s in over 58countries and it already has 32 percent of the global shares.
source
a bitcoin atm
Some countries tried banning crypto transactions like “NIGERIA” who banned bank transactions with crypto currencies. The general public believed this was due to the fear in the decreased annual revenue with the western union( a foreign exchange body owned by the government). With the introduction of crypto i guess people just didn’t see the need of using such methods to transfer money with huge charges applied to it when they could do it at cheaper rates with crypto currency.
Although the ban is still on , crypto transactions still move within the country with the aid of peer to peer networking.
If you ask me what i see crypto currency like in the future. I see a currency that will eventually take over the world just like its former counterparts had. ITS A NEW DAWN.
In conclusion
Cryptocurrency is a modern age digital currency that has grown in its popularity worldwide. It has proved to be very valuable in this modern age of technology. Its easier, fast, reliable and cheaper. It has the potential to become the next normal currency used all over the world. I mean you could just go into a store to buy a chocolate bar and be like , “do you collect bitcoin, etherum or steemit?” Thats how random its going to be someday.
Cc
@stream4u