Crypto Academy Season 3 Week 1 | Intermediate Homework Task Article for Professor @allbert | Topic: A world of Wallets and Exchanges

Season 3 of the Steemit Crypto Academy has been started and introduced new levels that everyone might like to participate in. This blog post that I will be writing for is in the intermediate level that belongs to the homework tasks given by the new Professor, Prof. @allbert who tackles more about A world of Wallets and Exchanges. The Homework tasks will cover the following:

Homework Tasks:

<sub>1. Explain differences between Wallets and Exchanges.
2. Why do You think people should have more than one exchange account?
3. What are better? Wallets or exchanges?
4. Create an account in a wallet and in an exchange of your choice (show screenshots of the process).</sub>

As we are now in the world of Cryptocurrency, the first thing we should have to consider to know more about Crypto Wallet and Exchanges. This way, we will know better what will be our journey in this world that we are with us. In my own thought, the most important aspect to get started in our Cryptocurrency journey is the know both Crypto Wallets and Exchanges, which I will be showing it here based on what I've understood from the lesson and also based on my own experience.

Explain differences between Wallets and Exchanges.

In some point of view, we can identify that wallets and exchanges are the same for they both use to store our assets but as we go deeper in understanding both platforms, it definitely different from each other. Let us now state some features and characteristics of wallets and exchanges that differ from each other.

Ownership

A Cryptocurrency Wallet is basically a software or platform that will let us full control of our assets by keeping the Private Keys and other ways to restore/recover our account while Exchanges is a platform that will allow us to buy and sell assets with our own wallet but we don't have full control to that wallet as we didn't hold a private key and we are just dependent to the rules of the exchange platform.

Operations

In terms of operations, wallets and exchanges have a big difference from each other. The main use of Wallets is to store our assets in long-term, store securely for we have full control to our wallet and can be accessed easily. In terms of transaction fees, based on my own experience it is more reliable as it depends or based on the blockchain's fees. Now, for the exchanges, the main operation we could do is to trade our assets by selling and buying to make it fiat and in terms of its transaction fees, it depends on the exchange platform we used to trade our assets, they were the one sets all the transaction fees.

Other Features

If we are talking about its features, I could say that Exchanges has more features than Wallets. We all know that the main purpose of wallets is to store our assets for the long term but it doesn't have features like Trading, Staking, Lending, and a lot more which I think takes advantage of exchanges to wallets.

Why do You think people should have more than one exchange account?

We all know that there are different cryptocurrency exchanges available that we consider in our Cryptocurrency journey but as what is ask, why is it important to have more than one exchange account, I will tell you something about it.

For the information of everyone, I do have more than one cryptocurrency exchange account on different exchange platforms. Yes, it is important also for me to have more than one exchange account as we all know that each exchange has different features that may not have in the other exchanges.

We can also consider that some exchanges have bigger transaction fees than the other exchange which will allow us to choose what exchange to be used in our trading.

Another thing we need to consider why we need to have more than one exchange account is that some exchanges may not have the assets we want to trade which is available to the other exchange. I have experienced this scenario that I have discovered that the asset that I want to trade is not available to an exchange I currently using but available to other exchange which I don't usually use, so I have decided to create an account to that exchange to trade my assets.

_{Image Source: Cryptocurrency Wallet and Exchange}

What are better? Wallets or exchanges?

Both Wallets and Exchanges were better on their own and they differ on how we used it. If I have given a chance to choose I would rather choose Wallets than an exchange as it is more secured to store our assets to a Cryptocurrency Wallets most especially if we take it for the long term. We can consider using wallets in storing our assets securely but be sure to securely keep also your Private Keys and other ways to restore/recover your account. If we tend to trade our assets, it is now easy for us to transfer assets to the exchange of our choice.

Why I choose Wallets than Exchanges, for I have heard from my friends and some news that when they stored their assets in exchange, they lose their assets without knowing why and what happened. We all know that the full control of our wallet in exchange is in the platform that is the reason it is not safe to store our assets to it in long term.

Create an account in a wallet and in an exchange of your choice (show screenshots of the process).

Now, what I want to show here is a process on how to create an account for both Wallet and Exchange. For Wallets, I will be using a Multichain Wallet named Klever Wallet App and for Exchange, I will be using a Hotbit Exchange.

Create a Wallet Account (Klever Wallet App)

_{Image Source: Klever Wallet App}

DOWNLOAD AND INSTALLATION

The very first step we should do in all Blockchain Wallets is to download it and install it. Now, to instantly download and install the Klever Wallet App, just click it here. Download Klever Wallet App

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After you click the link above, you will be redirected to Google PlayStore with the Klever Wallet App to download. Just follow the simple instruction and you're done.

CREATE WALLET ACCOUNT

After you have finally downloaded and installed the Klever Wallet App, open it and you will be asked either to Create an Account for a new user or Create another Account, Restore Account, import with Private Key, or lastly just a Watch Mode.

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For the first-time users or those who want to add an Account, just choose the Create Account and you will need to follow what is the given instructions.

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You will now be given a different type of Blockchain Wallet you want to create either BTC, ETH, XRP, TRX, or LTC. In my example, I've chosen the TRX Blockchain Wallet to create, and take note you can also set the name of your wallet as highlighted in the Screenshot. After you click create then your done, you've successfully created your TRX Account on Klever Wallet App.

BACKUP WALLET

The very important part of creating a Blockchain Wallet is to back up it for security purposes. In the case of TRON (TRX) Blockchain, we only need to have a Backup to its PRIVATE KEY and MNEMONIC PHRASE. To have a backup of these two important keys on our Klever Wallet App, just follow these instructions.

• In your Klever Wallet App, go to Settings and search for Backup Wallet.

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• After you click find and select Backup you can now find the PRIVATE KEY and MNEMONIC PHRASE you need to Backup.

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• Since my example is in TRON (TRX) Blockchain, I've chosen it to back up my Wallet with my newest created TRX Wallet.

• It is advisable to take it down in a notebook and do not take Screenshots of it for Security purposes. So, I have decided to do not to take a screenshot and share it here with my Account Security.

• Be sure to take it down in a notebook and do not share it with others or store it on our email.

Create an Exchange Account (Hotbit Exchange)

To easily create your account, just click here, Hotbit Exchange. The next step to do is go to the register button.

_{Image Source: Hotbit Exchange}

After you have to click the link and show the main website of the Hotbit Exchange and click on the Register button, filled up now the form provided, just choose either using your email or your phone number then choose your desired password then continue and follow the simple instructions.

After you entered correctly and successfully entered the code sent to your email then you already have a Hotbit Account and now ready to log in.

Finally logged in and now ready to deposit and trade on my Hotbit Account. You can also do some important security features of the platform to secure your account.

Conclusion

We all know that both Crypto wallets and Exchanges are the most important aspect we should know here in our cryptocurrency journey. It is much better to study more about these two for us to understand everything that we are dealing with. We must also consider that both platforms have risks and be put on our mind that we must always be risk-taker. Our journey here is not easy for we have lots of things we need to understand but with perseverance and willingness to learn and accept all the challenges we encountered our journey here will grow and makes it better. Have time reading from news and another article about cryptocurrency and blockchain then time will come we will all be successful.

This would be my homework task from @allbert's Intermediate level Week 1. I've appreciate all the efforts and information I've got from the lesson and I'm looking forward to the next lesson next week.

Thank you also to all the Steemit Team who initiated this new project and to all curators who supported this project.

That would be all, thank you and God Bless!!!

GIF Footer Credits to @baa.steemit

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