Proof of Keys - Steemit Crypto Academy- S4W7- Homework Post for @awesononso

The Public Key is a unique algorithm that is usually used to encrypt the data sent so that the transaction process that occurs will be more secure, when the data has been encrypted then the data will be in the form of a hash so it is difficult to hack and crack, this is all used to increase security in the process of fund transactions. As for the encrypted data related to the details of the transactions that we do, only those who have the public and private keys know the data from the transaction.

• Private Key

The private key is a unique algorithm that is usually used to decrypt the data sent by the sender, the public key and the private key are so closely related that only the private key that matches the public key can decrypt the data. when the data has been encrypted into hash form, then to see the original data from the sender must use the private key to decrypt the hash into the original data sent by the sender.

• Custodial Wallet

source

Custodial wallets are wallets created to involve third parties in the processing of our fund's transactions. so the third party has control of our public key as well as our private key. so that when we send the wrong address in the transaction, a third party can manage the funds to be returned to our wallet. Custodial wallets usually have a support feature to ask for help from third parties in fund transaction errors.

• Non-Custodial Wallet

Non Custodial Wallet is a wallet that is created without involving a third party. so this wallet is managed directly by the user. This wallet is a decentralized wallet, which means that all stored and transacted funds have full control only of the user without the involvement of third parties. so it can be said that the private key is only the user who has full control so that the privacy of each transaction is better maintained.

2.) What do you think about the Proof of Keys Day? What precautions would you take when participating?

Proof of Keys Day is an event to commemorate the creation of the world's first block, the genesis block. This event is a very unique event because all users involved in participating in this event transfer all their assets from the exchange to their personal wallets so that we have full control of our assets.

With this event, we can prove which exchange can be trusted because many people have withdrawn all their assets on the exchange. so they can't abuse the user's assets in the exchange. so when the exchange does not have enough funds to back up all the assets that have been borrowed from the user's funds they can go bankrupt.

So with this event, a centralized exchange is used to store assets while users will be more careful in protecting users' assets. because when the funds on the exchange are transferred to a decentralized wallet the users can know which centralized exchange is trusted. so as to increase the convenience of users in storing their assets.

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Some Precautions When Participating On Proof of Keys Day

To participate in this event, users must be able to make the best use of it in order to reduce their losses. The things that must be prepared are:

• Before participating in this event, users must choose the best and most trusted decentralized wallet. so they can move their assets into a secure wallet.

• We must be careful in conducting transactions, in order to avoid hacking. one of which doesn't store wallet keys in e-mails, communication tools that are all online and don't give out wallet keys to anyone.

• Can calculate transaction costs incurred when transferring transactions to a decentralized wallet, so as to minimize costs incurred in the transaction process.

• ensure the correct wallet address is sent so that all transactions run safely, and we don't lose the asset.

• With this event there are many people who follow it so to avoid scams from centralized exchanges, make sure you take part in this event.

3.) Do you prefer Centralized exchanges or Decentralized wallets for storing your cryptocurrencies? Why?

I prefer decentralized wallets over centralized exchanges because some of the advantages offered by decentralized wallets are more useful in my opinion. some of these advantages are:

• Each user has full control of their assets, this wallet is not involved in third parties. so that users can manage and store their assets safely and conveniently

• Decentralized wallets are a very low risk of hacking, this is all because every transaction occurs only for those of you who have a public key and a private key. and the keys are very difficult to crack because they are in the form of a unique algorithm.

• Decentralized wallets have the advantage of fast transactions and offering low prices so that they can be useful for users in making transactions.

• Users can also use the features found in decentralized wallets such as swaps and other features to be used as they wish.

• The most important thing is that users can safely store their assets because the level of security in decentralized wallets is very high.

4.) Let us assume it is Proof of Keys Day:

a.)Transfer at least 20 Steem from your Binance wallet to your Steemit wallet.

Ok, I will try to transfer steem from Binance to steemit wallet.

• First of all, we visit the Binance wallet and select withdraw. and after that select the steem coin. and click withdrawal

_{Screenshoot from Binance}

• After that enter the username in the address. and select the steem network. and enter the amount of steem to be transferred. I entered 20 steem. after that you can see the details I got 19.99 steem because a transaction fee of 0.01 steem was charged. after that click confirm.

_{Screenshoot from Binance}

• After that, your transaction is processed after waiting for a while, your transaction has been successful

_{Screenshoot from Binance}

• and steem has entered my steemit wallet.

_{Screenshoot from Steemit Wallet}

b.) Transfer at least 50 TRX from your Binance wallet to your TronLink wallet. (Provide Screenshots and make sure you have your Keys).

Ok, I will try to transfer TRX from Binance to my TronLink wallet.

• First select the spot then select TRX. and after that, you can click withdrawal.

_{Screenshoot from Binance}

• After that enter the wallet address, and select the Tron network (TRC20). then enter the amount to be transferred, I enter 51 TRX because it will cost 1 TRX. after that I will get 50 TRX and other transaction details then click Confirm.

_{Screenshoot from Binance}

• After that, you will wait for the transaction to be processed. after a while, you have successfully made a transaction of 50 TRX.

_{Screenshoot from Binance}

• Let's take a look at my Tronlink. there is a change from the initial TRX amount of 10 TRX to 60 TRX.

_{Screenshoot from TronLink}

5.) In one statement, what is the major significance of the transfers in question 4.

So from the practice I have done in question number 4. every asset that I own is absolutely mine so transferring to a decentralized wallet is a very good choice to keep my assets safe. it's a straight forward practice to withdraw my assets from a centralized exchange to a decentralized wallet.

Conclusion

In every transaction that occurs on the blockchain system, the public key and private key are very important and interrelated, so that every transaction that occurs is safe and difficult to hack. the decentralized wallet is a very appropriate choice in my opinion in storing our assets. because by storing our assets in a decentralized wallet, we are in full control of our assets, so their security is guaranteed.

Proof of keys day is a very unique event and a very good event that is carried out to prove the best and most trusted centralized exchange. this event is a very good breakthrough to be able to secure our assets. because storing assets in a decentralized wallet further exchange security against theft of our assets