Steemit CryptoAcademy Homeworkpost Season3-week1 for Professor @Allbert.

Hello! steem family i welcome every member and newbie to this great family and congratulations to professor @allbert for his new post. Today i will be presenting on wallets and exchanges.

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1. Explain differences between wallets and exchanges as well as mention which operations should be performed in an exchange and which operations should be performed in a wallet in terms of fees.

Answer: Wallets: are practically like our crypto currency safes and it's main function is to store your crypto currency. It could be in form of a software program like a trust wallet or an offline storage device, like a hardware wallet, for example, Trezor. In the case of a software program, you're given certain keys that lets you access whatever coins you have stored in there.

Exchanges

An exchange is an app that lets you make different conversions among a wide range of currencies, in essence, exchanging coins for other coins and assets and vice versa. They're usually used when trading.

In differentiating both I will first start with the purpose each serves.

Like I already stated above, a wallet serves best for long term storage of assets, as it gives owners full control of their keys while an exchange is best used for trading as it gives users access to the internal market, where they can buy and sell coins. Exchanges also have internal wallets but they're not as secure and are recommended as short term use for currencies you wish to trade.

Nature of each: A wallet could be a software program or a hardware device with specific keys to which users have full access over.
An exchange, on the other hand, is an app that allows users access to an internal market where trading takes place.

Validation of account: For wallets, they do this using seed phrase, a bunch of words that they ask you for in a specific order while for exchanges, they ask you to upload certain legal documents for you to have access to a wide range of services performed on the app.

2In your own words, explain why you think people should have more than one exchange account. Do you have an exchange account and why that, specifically?

I do think people should have more than one exchange account because:

A. It's always good to have other options rather than relying solely on only one exchange. This way, if one were to encounter issues or get hacked at some point, you can easily rely on other exchanges you use to trade whatever you want at that point in time and you don't lose everything.

B. One can also take advantage of other opportunities like the difference in price of a particular asset or coin in different exchanges. An advanced trader can be able to make quick profits from these differences.

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

For wallets, I'll be showing you how I just created a trust wallet account.

Once you download the app from playstore, you click on the option showing "create a new wallet" as shown below;

[ After accepting the terms of service, you click on continue, which leads to a page showing a string of words called seed phrase which you have to check and input in the right order to confirm creation of account
Unfortunately this page doesn't support screenshots. After doing this, it shows you your account has been successfully created.

In creating an account on an exchange, I will be using binance.

In doing this, you can click on the login option on binance page.

When you click on it, it takes you to the page shown below
You can choose to input either your email or your number and then your password which should be strong. Whichever you choose, a code is then sent in my case to my email which was inputted and once confirmed, a page showing welcome to binance opened showing I had successfully completed the process.

In conclusion, Wallets and exchanges are both very important tools needed by crypto traders. Wallets, essential for secure long term storage of assets and exchanges for trade. Despite the fact that exchanges usually have their own wallets, they're usually not as safe as wallets and if anything should happen to the exchange or they get hacked, assets stored there may be gone.