Steemit Crypto Academy Contest / S2W1 - How Cryptocurrency Has Shaped The Financial Realm. What is It's Future? By @sameer07

Greetings To All, in this wonderful community the name SteemitCryptoAcademy. Meet me first My name is Abdul Sameer and @sameer07 on this wonderful platform. I hope all members will be fine and enjoying yourself with steemit.

^{Image is designed from Canva by @sameer07}

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Today I'm here to participate in Steemit Engagement Challenge in this wonderful community. So, i will be dropping my entry regarding this contest the title of contest is
How Cryptocurrencies Has Shaped The Financial Realm. What is It's Future?
My write ups on this challenge will be according to the under following Respected Admins and moderators of this wonderful community.

So let's start,

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1-Overview Of Cryptocurrency

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What is Cryptocurrency?

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Cryptocurrency is a digital token or digital assets, where we experience the transaction of form one person to other person through wallet or address that have been structured by cryptographically. Transactions of currency is validated and it's records are maintained and preserved by a system is called Decentralized System. Cryptography maintain this system .

Virtually Assets, Cryptocurrency can not be touched, we can only seen and they exchange between their traders, and investors of the same currency.

History

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In 2008, a unknown person first introduced Cryptocurrency. The name of unknown person is Satoshi Nakamoto. He introduced currency through a White Paper. The first currency that was introduced, the name is Bitcoin.

Bitcoin was accepted and gained value in next year in 2009. On seeing the importance and light of this currency, other investors then decided to create their token and that was how the Ethereum currency, this is same path that was taken by the bitcoin.
Now, we can get to see that many tokens are divide in world of Cryptocurrencies to get or gain value, profit and get popularity just like the Bitcoin.

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About:

Cryptocurrencies are found in Centralized and decentralized exchanges, where we can bought, sell and invest.

Cryptocurrencies are divided mostly into two but they are known as digital assets.

There are two groups of Cryptocurrencies.

1-Coins

2-Tokens

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Coins are Cryptocurrencies. These are used to back a project. Coins make the project to keep thriving and gaining Grounds.
i.e: bitcoin, Ethereum, coin of Binance etc.

Tokens are also Cryptocurrencies. Tokens are also used as to back the project. The project that exist under the project of coins. They do not have blockchain but they exist under the project that have blockchain. As you know that, Polkadot Project has many other projects that is under it and all projects have tokens. They use is running projects. Example of tokens are, JUV, ATM, so on.

2- Draw A Comparison Between Cryptocurrency And Conventional Currencies

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Cryptocurrencies are same to the conventional Currencies which are used in different places on world because these are medium of exchange.

So, i will show you certain comparison between
Cryptocurrencies and Conventional Currencies. I will share with you highlighting those features Briefly.

CRYPTOCURRENCY	CONVENTIONAL CURRENCIES
Cryptocurrency have Centralized and decentralized exchanges	ConventionalCurrencies have only Centralized exchanges.
Cryptocurrencies use blockchain technology in transactions	Conventional Currencies can not use blockchain technology in their transactions.
Cryptocurrencies are virtual assets that can be touched physically.	Conventional currencies are hard currencies and can be touched and felt physically.
They can only access on exchanges through internet	Conventional Currencies are access through bank and other financial organizations of a country.
Cryptocurrencies are accessed any time	Conventional Currencies are accessible to owners.
Cryptocurrencies are kept in safe and secure digital wallet	Conventional Currencies are kept in safe account.
Cryptocurrencies are volatile they raise and fall in minutes	Conventional Currencies are not volatile.
Chance of hacking of Cryptocurrencies is too low	Chance of hacking of bank and other financial organizations is more.

Similarities

• Both Currencies are exit in varieties for example Cryptocurrencies has its own form or variants such as BTC, DOGE, BNC etc
  Conventional currencies has it's own form such as POUND, USD, EURO etc.

• Cryptocurrencies and Conventional Currencies serve a medium of exchange that provides good and services.

• Generally accepted Legally.

• Both Currencies are used as payment and act as value of store.

Value of Price

Cryptocurrency is a blockchain, these are tokens that get its value of tokens from blockchain.
Conventional currencies is regarded as general currencies that are accepted. These can exchanged from services this legal tender. The price of conventional currencies are associated with currency that is issued a country.

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Storage of Both Currencies

Conventional currencies is also known as Traditional Currency. If Conventional Currencies can be viewed as Cryptocurrencies. If we transfer money one person to another and make online transactions. If this money is withdrawn form bank or financial organizations this process move through liquidation process then offered us as traditional or country cash.
While the digital currencies are store that has value. These currencies has no physical form and highly secured and protected by encryption.

So, these are few Comparisons between Cryptocurrencies and The conventional currencies.

3-Explain The Distinctive Innovations Of Cryptocurrency And It's Downsides

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There are lot of distinctive innovations and Downsides of Cryptocurrency which i will discuss with you in Explain below;

Cryptocurrency Innovations

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1-Blockchain Technology:

Cryptocurrency concept is fully introduced by the use efficiency of blockchain technology. This Technology has been adopted many business and many organizations sectors. These sectors create by decentralized secured for managing data that is online. In Cryptocurrencies, blockchain technology is used for ensured the safety and data on the blockchain database.

2- Privacy
In Cryptocurrencies, privacy is another innovation in finance ecosystem. Cryptocurrencies do a lot of innovations for the privacy, in financial transaction with bitcoin, you may keep a level a Privacy. Crypto currency transactions have a unique identifier on the blockchain like wallet address, but not personally identifying.

3- Security

The functions of key used for securing the blockchain technology such as public and private keys, cryptographic function
Hashing algorithm. Various Cryptocurrencies create a superior security structure that ensures the transaction operations and security of funds.

4- Decentralization
Chef innovation of Cryptocurrency is considered Decentralization. As it moves the Centralized of financial power of decentralized network this innovation allow the direct transactions without need of third party. This autonomous financial power is controlled by government and banks to reducing risks associated with financial transaction.

Downsides of Cryptocurrency

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Scalability
Scalability is disadvantage regarding the Cryptocurrency, in which the ability if currency changed at anytime is disadvantage. If look at Luna it's changed now to Lunc now this is called Lunc classic due to lost of value. Currencies can be changed at any time is disadvantage and users leave and investors also be worried.

Volatile
Cryptocurrencies are very volatile. Volatile makes them dangerous to trade or hold. The price of currency is sudden fall or increase which may effect on traders and negatively impact on investors.

Wrong/ Irreversible Transactions

The downside, In transactions of Cryptocurrencies is if we make a transaction and send currency to wrong address of wallet and we will not able to recover our transaction. In this way some new users may face a big loss.

Loss of Keys

Due to decentralized Cryptocurrencies, it is impossible to recover lost of keys. when the wallet keys are lost so user account os lost forever. We can't recover our wallet if we lost our keys. This is also big downside of Cryptocurrency.

4- How Do You Think Major Problems With Cryptocurrency Can Be Handled? Let This Be A Response To The Downsides Highlighted Earlier.

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The Problems and Downsides of Cryptocurrency can be easily handle. The solution of the problems are given below;

• Price Stability

Price Stability must be established just like other fiat currency POUND, USD EURO etc. There is no matter fall in value of currency , but these are not high like Cryptocurrencies.
For example, a user buy a coin at $7 price range, but in next minutes the value of coin fall down at $3. This factor also effects on investors who can loss investment in few minutes. It will good idea to stable the price of coin and this is positive outcome from me.

Cryptography and blockchain technologist should find a way to regulate the price Cryptocurrency. They should give a list what is effect the price of Cryptocurrency.

• Volatility

The level of volatility should be regulated of every Cryptocurrencies. They can set a coin between how it high it can go or how low it fall after declined or uptrend.
That way, you don't have worry about losing everything.

• Irreversible Transactions

The best think approach is to validate receiving and sending address before the validating transactions block, when the transaction address is wrong is incorrect. Then reverse options is given to initiator the transaction. This process reduce the number of wrong transactions on blockchain.

5- Do You Believe In The Future Of Cryptocurrency? State Your Reasons. Any Recommendations?

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Yes, i believe in the future of Cryptocurrency. Cryptocurrencies have a future in financial structure in the world and 100% believe on it. With all feats of blockchain technology have got in all over the world and that's why future of Cryptocurrency is assured.

Given Below reasons why I have believe;

• Security of assets of Cryptocurrencies. Cryptocurrency offers us best form of security fund someone through the power of blockchain technology.

• The speed of transactions with which are completed on blockchain. Topnotch speed are completed the transactions. Every blockchain is creating adjustment to offer the most scalable blockchain.

• Facebook, Tesla, PayPal and other big companies start accepting Cryptocurrencies that is good sign for future.

I strongly believe that, Cryptocurrencies are here to stay that and I 100% in believe in future Cryptocurrencies will take place of Conventional Currencies on the world.

The future of Cryptocurrency is full of brightness and in future Cryptocurrencies sloved trading problems that trading without commission from financial organizations. We trade with various from country to another country. I 100% believe in future more problems will solved.

My recommendation for those who believe in Cryptocurrencies. Cryptocurrency world is concept to make an successful investment man and trader by plan management, research and other positive things. I hope crypto market grow.

With all these reasons and those i couldn't remember, future of Cryptocurrency is 100% guaranteed, in soon developed countries, crypto will the major medium of exchange.

Conclusion

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At the end of my post in conclusion, i will talking about Cryptocurrency, everything has pros and cons same like Cryptocurrencies. In all over world many people's getting benefits from Cryptocurrencies and some are against its downsides. The future of Cryptocurrency is very bright because different brands and companies have starting trust on Cryptocurrencies.

I would like to invite my friends @chahmad12, @salman121 and @khna770. I hope my friends will participate in this contest as soon as possible.

I Hope you all will like my article and thanks for reading and visiting my Blog 💕

Best Regards 💞,
@sameer07