Steemit Crypto Academy Season 2 week 6| Learn About Cryptocurrency| Homework for @levycore by @shahab1998 | POSTED AGAIN AS I WASNOT CHECKED

DEAR @LEVYCORE SIR , I AM POSTING MY THIS HOMEWORK OF WEEK 6 AGAIN AS MY HOMEWORK WAS NOT CHECKED BY YOU AS YOU CAN SEE ON THE TIME OF POST AND ALSO I HAVE MENTIONED YOU A MULTIPLE TIMES BUT IT WASNOT CHECKED SO PLEASE CHECK IT NOW SO IT COULD GET EVALUATED THANKYOU.

LINK OF MY THAT HOMEWORK: https://steemit.com/hive-108451/@shahab1998/steemit-crypto-academy-season-2-week-6-or-learn-about-cryptocurrency-or-homework-for-levycore-by-shahab1998

POSTING AGAIN:

HELLO STEEMIT members , i hope you all are fine and doing well, so this is my homework given by the honorable professor @levycore , First of all thankyou so much professor.

Crypto academy professors are doing their utmost to help steemit users learn about a variety of topics by sharing their expertise and information in order to help them make better use of this enviroment and helping us to not only learn but also enhance our skills here.

QUESTION 01 : What is the fundamental difference between Cryptocurrency and the conventional financial system?

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DIFFERENCE BETWEEN CRYTOCURRENCY AND CONVENTIONAL FINANCIAL SYSTEM:

There is a great and big difference between Cryptocurrency and conventional financial system as they are totally different from each other and cannot be concidered as same, Few of there differences are mentioned below:

~ In conventional Financial System all sort of transactions are in the

supervision of any main body or central body which is regluating them and these central bodies could be banks etc while in the cryptocurrency all assets or transactions are not in control of any one ecept the user and they are not supervised by any central authority.

~ Another big differecne is that when transfering funds from one place to another there are several feesdeductions while in cryptocurrency has no expenses and is extremely fast and secure when moving funds from one person to another.

~ Another big difference i that conventional financial system is old and traditional system while crytocurrency is latest digitialized system.

~ All sort of transaction histrories are stored and all secret transactions information could be accessed by the central authority while i crytocurrency all transactions are safe and one can do all tranaction without knowing any central authority.

~ Transactions are very easy and human friendly in cryptocurrcy while transactions and processing in conventional financial system is a bit tricky and hard to do for a common user.

~ One flaw of transaction in cryto is if a user made a misktake an entered wrong address so there is no chance of refund while in convential financial system there is chance of refund if someone made wrong transction accidentally.
The conventional financial system has a physical contact that can be transported from different places either and is universally accepted as a means of legal currency, whilst Cryptocurrency is avirtual sort of money that is not felt but keeps value and performs its function as a way of appropriate bidding not generally acknowledged in some countries.

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Ques 02: Why is a decentralized system needed?

NEED OF DECENTRALIZED SYSTEM:

As we ll know Crytpocurrency has a decentralized system means there is not any central authority controlig over it and all of the transactions are safe and hide from all central authority unlike conviential financial systems which have complete access over all of the transactions, as we know the b blockchain networks use a decentralised strategies. The decisions in a decentralised system are made by different users and users decide on the approach and technique and control them.
Decentralized Systems are needed because:

• Decentralizd system is very needed because there is no limitation in tranacation, one can do all sort of tranactions all over the world without any fees or decduction unlike normal convential financial systems and they are very fast and only in a single click transaction could be performed.

• Decentralized system is needed because they are much secure as there is no one who is monitroring the transactions or funds Because cryptocurrencies are very sucure as they have dencentralized systems , the decentralised systems' improved security increases the flow of bitcoins.

• They are needed because they are very fast and convient , a user can perform its transaction fast and seccure in few seconds easily unlike old financial system, time is most importnant asset of a person and Consumers can conduct transactions from anywhere in the world and at any time they want without wasting valuable time.

• Another and most highlighted feature of decentralized system which increases its need is that there is no central authirty and there is only communication between the sender and the receiver only.

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Ques 03: . What affects the value of cryptocurrencies?

Following are the important factors that affect value of crytocurrency where are mentioned below:

• One of the most important factor that affects value of crytocurrency is promotion my famous or popular celebrity, if a popular person talks possitive about a coin so it increases the its value and same goes for the negative impact, like Elon Musk's tweet can also affects value of crytpocurrency as last week he tweeted about Doge Coin so its value got icreased.

• Another most important factor that affects the value is interest of famous or large shared companies if a famous company took interest in specific coin like Tesla so value of that coin will be definately affected.

• With that another element that influences cryptocurrency rates and values is the behaviour and preferences of traders. The rates and values of cryptocurrencies are changed whenever large stake holders release their cryptocurrency into the market.

• Demand and supply also affects the value of cryptocurrency, as price increases when supply is insufficient and demand of cryptocurrency increases so this has a great impact on price affect of crytocurrency.

• Another factor which really affects value of crytpo is the availibility as it influences their value; as more people use crypto, its value fluctuates or is affected.

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QUES 04 : Why can't everyone be a miner?

Now, lets talk about Mining. Mining is not as easy as people think and concider aas it it requires alot of basic technical understanding of cryptocurrencies and also different technical ways of mining because if you are a minnor you must know how to do and solve the problems many codings and solving equations which is definately not easy and cannot be done a simple person and even nd for this there are algorithms that are implemented in hardware that make the operation much easier.

And it is not like that everyone can do mining and can become a miner , Now but to do mining , there are various requirements that must be met. For mining bitcoins, different consensus algorithms have various requirements. One must have enough techical knowlege and cable of solving codings equations and problems to do mining and become a minner.

Now lets dicuss most important reason that everyone cannot be a minner is that resiriction of mining in various countries or parts of he globe. Many countries do not allow miners to mine cryptocurrencies because it is considered unlawful in their jurisdictions. Like i am from Pakistan and here mining is illigal and i cannot do mining and become a miner as i have been restricited by country.

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Ques 05: Why can cryptocurrency transactions be called more transparent?

TRANPARENCY OF CRYTOCURRENCY TRANSACTIONS:

The reason cryptocurrency transactions be called more transparent because as they are decentralized systems and based on blockchain and no central authirty is monitering them as all of the data nd info of sender and reciver and as well as the transaction specifics, are not visible to everyone,but yes it can be seen by people that this transaction was made by this person in this respective blockchain.

And transactions in crytocurrency are very secure and fast because the transactions are carried out through a wallet which acta as echanges too and connect to parites sender and recieiver.

Because blockchain is an open source, checks on its transactions can be performed at any time whenever a user wants so it also reflects transparency of cryptocurrency.

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Explain how the development of cryptocurrency in your country

DEVELOPMENT OF CRYPTOCURENCY IN PAKISTAN:

I live in Pakistan, here crypo currency is spreading and gaining popularity sl
owly slowly but yes currently it is banned in our country but still making progress gradually as even on steemit there are multiple communities of pakistan which are successfully running and there are multiple facebook and telegrams groups of our country for guidance about coins and investment and there trade and mining.
However, cryptocurrencies are gaining popularity in our country on a daily basis, and it appears that the future of cryptocurrencies in our country is bright.
With that i am sure that Pakistanis are working on it and doing great efforts and i am sure and confident that as now public is getting aware of the technology and keen to trade. Nigerians have shown a strong interest in and adoption of cryptocurrencies.

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CONCLUSION:

This lecture was very helpful i learned about Decentralized system and Crytpocurrency has a decentralized system means there is not any central authority controlig over it and all of the transactions are safe and hide from all central authority unlike conviential financial systems which have complete access over all of the transactions, as we know the b blockchain networks use a decentralised strategies. The decisions in a decentralised system are made by different users and users decide on the approach and technique and control them. This lecture cleared my concept more about crytpo. Professor @levycore Thankyou so much for this wonderful and informative lecture, this was my first lecture of yours and i have learned alot.

Thats all , This is my homework professor @levycore i hope you like it and once again professor thankyou so much for this informative lecture, This post is totally plag free.

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