Hello fellow steemians it @ghani12 and this is my submission post for the contest LINK.

In this week's contest that's titled "How Cryptocurrency has fashioned the economic Realm. what is Its future?" is aimed at permitting us to explore and provide an explanation for the various methods cryptocurrency has stepped forward the monetary realm.

OVERVIEW OF CRYPTOCURRENCY

earlier than we dive into cryptocurrency, I would really like us to examine what forex is on its very own.
forex can be regarded as any medium through which goods and services may be exchanged. it may be in form of a paper, coin, or some thing that has an connected cost.
the use of forex can be traced as a ways again as 2000 BCE in Babylon. wherein as one of the oldest shape of forex called the Mesopotamian shekel is dated as far as 5000 years in the past.
before the emergence of money, human beings had been replacing items and offerings through a gadget referred to as the "barter system".
This gadget includes the direct alternate of goods and services wherein a person who's in need of a cup of rice however has a tuber of yam will must pass on the lookout for one that desires a tuber of yam but has a cup of rice to spare.
This machine happen to be much less efficient and stressful as a result making human beings to search for way to store cost and that introduced approximately the emergence of "forex".
we can deduct from the above that forex is whatever that is commonly generic as medium of trade.

CRYPTOCURRENCY

The word cryptocurrency is a mixture of two words which can be "crypto" and "foreign money" with crypto originating from a Greek phrase "kryptos" this means that "secret or hidden". you can believe me that something that is secret also can be regarded as secure thus making cryptocurrency a decentralized blockchain based totally digital forex.
Being decentralized tells us that it isn't always governed via any authorities or everyone and this is made possible by means of the blockchain gadget which permits a p2p transaction the use of the useful resource of smart contracts.
The cryptocurrency transactions are recorded in the blockchain which serves as a virtual ledger that records transactions in a manner that it's far not possible to forge, delete or compromise.this is made possible due to the fact all blockchain sports are duplicated and allotted across one-of-a-kind network of nodes which validates and confirms the authenticity of the transaction before including it to the block and with the cryptocurrency being constructed on blockchain makes its transaction very accurate, efficient, and at ease.The cryptocurrency lets in an immediate P2P transaction without the involvement of intermediaries (1/3-celebration) such as banks as there duties at the moment are being executed greater effectively through clever contracts for that reason maintaining transactions completely non-public.

COMPARISON BETWEEN CRYPTOCURRENCIES AND TRADITIONAL CURRENCIES

SMILARITIES

shop of cost

Cryptocurrencies and traditional currencies both function a shop of cost. They can be given out as presents and be standard with a variety of gratitude.

Divisibility

both cryptocurrency and conventional currencies can be divided into smaller gadgets. Eg: 1 USD may be divided into multiple cents and 1 Steem can be divided into multiple units (zero.1 STEEM).

Medium of trade

similar to conventional currencies, cryptocurrencies can be used to buy goods and pay for services.

diploma of cost

The degree of fee of cryptocurrencies and traditional currencies are both depending on the price of adoption. The greater they're widely established, the more the price and vice versa.

varieties

Cryptocurrencies and conventional currencies each have types. In traditional currencies we have the likes of USD, Naira, Yen, Dinar, GDP, Euro, and so on. whilst in cryptocurrencies we have the likes of Bitcoin, Eth, Steem, BNB, TRX, etc.

DIFFRENCES

conventional currencies

conventional currencies are governed via the relevant authories such as the central financial institution
traditional currencies are much less volatile therefore first-class used for savings
traditional forex transaction calls for a 3rd-party inclusive of banks who are to verify and document diverse transaction details.
traditional currency transaction requires high fee due to the involment of third-events which can be to be selected
traditional transactions are recorded on computer systems or local ledgers consequently making it viable to be compromised
conventional foreign money transaction is less slower because of the involment of a third-celebration (banks) who has to approve transactions before it proceeds to the supposed recipient

Cryptocurrencies

Cryptocurrencies are completely decentralized which means that they may be not governed by any central body.
Cryptocurrencies are greater volatile thus excellent used for investment functions.
Cryptocurrency transaction are P2P. It do now not require the involvement of a third-celebration due to the fact the activities of third-events have already been nullified through the clever contracts.
Cryptocurrency transactions are recorded on the blockchain which serves as a virtual ledger hence making it impossible to include.
Cryptocurrency transactions requires no charge anticipate the minute amount that is paid to exchanges.
Cryptocurrency transactions are faster due to the nullification of 0.33-events

Distinctive innovations of cryptocurrency and its downsides.

The diverse improvements of cryptocurrency has come as a result of the blockchain on which the cryptocurrency is built on. The block has allowed the numerous functionalities along with man or woman-to-person transaction, permission less get entry to, anonymity, and many others.

those improvements are not like what we are familiar with whilst managing conventional currencies. The man or woman-to-individual transaction of cryptocurrency in as innovation which has reduced transaction price and has also significantly accelerated transaction pace because there are no depended on 0.33-events who thru series of confirmations delays transactions and will increase cost.
also the shortage of involvement of a third birthday party has made transaction more personal because the details of transactions such as quantity are only known to the two events worried. The blockchain is immutable and this additionally implies that transactions recorded on blockchains can not be erased, changed or reverted.

Drawback

The most important drawback of that is the very truth that errors are almost inevitable at some stage in transactions and with the immutability of the blockchain, there aren't any approaches of convalescing cryptocurrencies sent to the wrong recipients or any client care or 0.33-birthday celebration witness to complain to. The anonymity of users additionally makes it impossible to track the identity of whom the cryptocurrency is transferred to therefore making any errors in transaction very pricey and painful.

Major problems with cryptocurrencies and response to the downside

this is a very vital query due to the fact the mentioned downsides are in reality what makes cryptocurrency exceptional from conventional currencies along with fiat and valuable bank virtual currencies (CBDC). but in other to deal with the above stated issues and nevertheless keep the crypto nature of cryptocurrency, I advise that there must be a maximum added time on which a sender can reverse transaction.
because of the shortage of involvement of a 3rd-birthday celebration, a cryptocurrency transaction may be very speedy and on average completes in a count number of seconds. this means that while we send out cryptocurrencies from our wallets, we expect the meant recipient to get it within seconds and if they do not there is excessive probabilities that a mistake should have been made for the duration of the transaction technique.
If there ought to be a maximum brought time a sender can nonetheless reverse transaction shall we say inside 3 mins after sending, we are able to nevertheless continually opposite transactions every time the supposed recipient did not get in a be counted of seconds and this could keep us from quite a few misplaced budget.
I do no longer realize how this could be made viable however the emergence of cryptocurrency and blockchain has proven that whatever can be made viable within the international of technology.

Future of crypto and recommendations

I believe inside the future of cryptocurrency. Each thing of like is continuously evolving and finance isn't always neglected of the evolution. searching on the evolution of forex you may see that it's been following a fashion. beginning from Commodity cash, to metal money, to Standardized Coinage, to representative cash, to Paper cash, to credit score cash and now the digital money which has birthed cryptocurrencies.
This fashion without a doubt shows that the digitalization of currency is not some thing we should not had been watching for with an advancement in generation. additionally the growth in recognition of metaverse and its in addition adoption by famous corporations inclusive of fb and Microsoft is an brought plus for cryptocurrencies for in different for a virtual world to properly thrive, it'll require virtual currencies (cryptocurrencies).
Cryptocurrencies are unstable and as such very volatile. consequently I do no longer advise for anybody as i am a monetary marketing consultant to no one. all of us that desires to spend money on cryptocurrencies should carry out their very own research.

Link to my introduction post LINK

Regards ,
@ghani12