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In today's lecture post by professor @levycore, I have learned a lot of things like the advantages of cryptocurrency why this is important, and the uses of cryptocurrencies and the mining process and etc in depth.

I will try to answers all of the questions from my learning hope so I will cover all things in depth.

1. What is the fundamental difference between Cryptocurrency and the conventional financial system?

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A conventional financial system is a working of our traditional fiat money and any transaction no matter how small it this has to go through the central authority for verification. but in the cryptocurrency case no central authority has is exist because cryptocurrencies are based on blockchain technology.

In using cryptocurrency anyone have the freedom they can send any amount of coins to another address within few seconds unlike our conventional financial system is working in which we have to follow a bunch of rules to transfer few amounts of money to another person's account.

In a conventional financial system, user don't have full freedom, like banks can freeze accounts without the permission of users. but in cryptocurrencies they have full access to their assets, not one can freeze the account of users are cryptocurrencies are stored in a crypto wallet.

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2. Why is a decentralized system needed?

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Decentralization is a very important thing because no central authorities have access to your funds or assets. users have full control over their assets. now we can see over the traditional systems are working in which central authorities have access to its user data or assets in that way we feel unsure. no matter what they call rules and regulations but in the end, they can do whatever they want.

Decentralized systems are trustworthy and secure to use they do not depend on a single entity, these systems are following distributed decentralized networks.

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3. What affects the value of cryptocurrencies?

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Many things affect the value of cryptocurrencies now a day it depends on the use case of that particular cryptocurrency like any things is big events in the crypto world, like one blockchain that is going to lunch is version 2 in which they have updated transaction speed and low fees for any transaction, and when this news spread across users and cryptocurrencies related to that particular blockchain will be affected.

Another thing is what all Altcoins(means cryptocurrencies with it other than bitcoin) are following Bitcoin when Bitcoin value is affected almost all cryptocurrency's value will be affected.

4. Why can't everyone be a miner?

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Because mining is really hard these days, It was possible to mine cryptocurrency on a normal computer, like Bitcoin in the early years but after gain popularity and miner have started mining Bitcoin and the difficulty level of mining increases and now it's not possible to start mining with a normal computer.

Miner required a high level of computational power to start mine which is so expensive.

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5. Why can cryptocurrency transactions be called more transparent?

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Because cryptocurrencies are built on the top of Blockchain and following all the security mechanisms of blockchain. In Blockchain all transaction is secure and transparent, every transaction is recorded in a public ledger called Blockchain in there is a chain of the block every block have verified list of transaction and a pervious hash of a block and this will make this block to be valid and added on Blockchain.

Whenever our transaction is done we will get a transaction hash by which we can search our transaction in the blockchain, like EtherScan is providing service to sync transaction from Ethereum Blockchain. In this is we will get details about our particular transaction from where funds went and who is has received that funds.

Blockchain is distributed public ledger so we can see all transactions which is happening on blockchain, it is transparent but secure by cryptographic algorithms we only see hash and public addresses here no real-world identity like name etc.

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6. Explain how the development of cryptocurrency in your country?

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I am from Pakistan, here we don't have seen any development of cryptocurrency because our government thinks, Cryptocurrency like Bitcoin is useless it will be helpful for moneylenders and another unethical purpose, but recently we can head some progress in our KPK province in which they are working on Blockchain-based project like changing our current server-based system to Blockchain-based but it just starts they have not completed anything or even start projects.

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Conclusion

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Cryptocurrencies are future currencies maybe after 10 or 20 years we only see these types of currencies like we are going to the digital world our everything is coming towards the computer, we have seen Defi boom in the crypto market they have attracted so many people toward the crypto world. Nobody can stop these hopefully this thing will take cover fiat money like what email did with post offices.

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