Steemit Crypto Academy Contest / S2W1 - How Cryptocurrency has Shaped the Financial Realm. What is Its Future? by @Jelilu67

An overview of cryptocurrency.

I highly believe we all know or have a little idea about cryptocurrency because it has been able to gain a lot of attention in the past years. So whenever we cryptocurrency it is coming from two separate words that’s crypto and currency. The crypto was gotten from a Greek word Krypto’s.

cryptocurrency: can simply be defined as virtual currency which was specially created to operate transactions activities digitally, with cryptocurrency it does not deal with third parties or intermediaries for transactions to be approved or accessed unlike the central bank, where all transactions must be approved by the third parties. As I said earlier cryptocurrencies are digital which makes it impossible for users to touch as compared to conventional currencies.

Cryptocurrency cannot be controlled by the government or the central authorities because it is a decentralized system that makes users access it anytime they want without seeking any permission. Cryptocurrency also uses a peer-to-peer (P2P) transactions system, where users freely buy, sell, send and receive cryptocurrencies without the involvement of third parties, the transaction process is very fast and clear.

Cryptocurrency usually works as a digital ledger where all transactions activities have been stored on the blockchain and cannot be deleted or edited by any user, this makes user know all their transactions activities every time.

Comparison between cryptocurrency and conventional currencies.

Explain the distinctive innovations of cryptocurrency and its downsides.

The innovation of cryptocurrency has improved the lives of others, such that some people do earn a lot of profits from staking, trading, investing, etc of their cryptocurrency on the blockchain.

The innovation of cryptocurrency has been able to eliminate the idea of third parties in the central bank when it comes to transactions activities, cryptocurrency operates as a peer-to-peer where users are free to make transactions without the involvement of a third party and has fewer charges.

The innovation of cryptocurrency has helped to reduce access spending in our daily life, cryptocurrency can’t be held in the hand, unlike conventional cryptocurrency, due to the process involved in cashing out cryptocurrency access spending reduced.

The innovation of cryptocurrency has helped users to freely make transactions to other nations without any difficulties and it is very quick, it can also be used in paying for goods and services.

General downsides

Cryptocurrencies are mostly unchangeable, which makes it very difficult for users to reverse their transactions. Whenever a user makes an invalid transaction it is very hard to reverse their transaction and they can easily lose all funds.

There is no restriction when it comes to cryptocurrency, anyone can join anytime they want, this gives some users the go-ahead as a safeguard to lie low and start to scam other users for their assets or funds.

The cryptocurrency market is volatile, the market does change every second, and users can easily make good profit from themselves or even lose all capital due to the volatility of the crypto market.

Cryptocurrency keeps the true identity of its users when it comes to transactions activities since their true identity can’t be recognized they sometimes use this opportunity to fraud or hack users, which can lead to the loss of the user's funds since the true identity is unknown it will be very difficult for them to be arrested by the FBI or police.

How do you think major problems with cryptocurrency can be handled? Let this be a response to the downsides highlighted earlier.

Since cryptocurrency transaction is unchangeable, there must be numerous alternatives to help users to confirm their transactions severally, in other to help avoid users to fall a victim to invalid transactions.

There must be rules and regulations to cryptocurrency, I believe users must go through some process before joining the market, this will help to avoid or lessen users from performing fraudulent activities.

Since the cryptocurrency market is volatile, and as I said earlier the market does change anytime, the user must be very careful when investing in cryptocurrency. They must make a lot of research about the blockchain and cryptocurrency they want to invest in and must know the amount of money to invest, so whenever there is any misfortune they won’t be upset.

They must show the identity of every user when it comes to transaction activities, this will help to show the identity of any user who tries to make fraudulent activities.

Do you believe in the future of cryptocurrency? State your reasons. Any Recommendations?.

YES, I strongly believe in the future of cryptocurrency, for the following reasons.

The government of most countries has started to show much attention to cryptocurrency making it legalized in their country and this shows that cryptocurrency is having a great future.

As we speak cryptocurrency has been able to gain vast attention from people around the world, because it can be used to pay for all goods and services and make transactions across your country and the system is decentralized, so there are no third parties when it comes to transactions and has a very fewer transaction charge.

The cryptocurrency is decentralized and has been able to build in a way that the system is very protective, and transparent so it reduces fraudulent activities.

Cryptocurrency has a future because companies such as Tesla, Miami Dolphins, Pirate Bay, and many more have started accepting cryptocurrency for payment.

Any recommendation

From my own experience, I can strongly recommend cryptocurrency to everyone because from what I just stated earlier, cryptocurrency is having a great future, and users must take it seriously and take an advantage of it. They should also take note that the cryptocurrency is highly volatile, that is anything can change so they should be ever ready to accept whatever happens in the market, they should not invest all their funds. They must also do a lot of research about the blockchain they are investing in just to avoid losing funds because they are a lot of fake blockchains.

Cryptocurrency is decentralized and does not involve third parties when it comes to transaction activities, and it makes transaction activities very fast, and secure, and has fewer transaction charges. So I would like to recommend cryptocurrency for everyone to invest in.