Proof of Keys- Steemit Crypto Academy- S4W7- Homework Post for @awesononso|| @starrchris

1.) Explain private and public Keys in relation to custodial and non-custodial wallets.

2.) What do you think about the Proof of Keys Day? What precautions would you take when participating?

3.) Do you prefer Centralized exchanges or Decentralized wallets for storing your cryptocurrencies? Why?

4.) Let us assume it is Proof of Keys Day:a.)Transfer at least 20 Steem from your Binance wallet to your Steemit wallet.b.) Transfer at least 50 TRX from your Binance wallet to your TronLink wallet.(Provide Screenshots and make sure you have your Keys).

5 In one statement, what is the major significance of the transfers in question 4.

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Explain private and public Keys in relation to custodial and non-custodial wallets.

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First of all i will define some terminologies for easy understanding.

• Cryptography:

This is a term derived from two words which are "Crypto" meaning secret, hidden, or unknown to thrid parties, and "Graphy" which means representation, information or messages, so therefore i am permitted to say that "Cryptography" is the act of making informations secret, or the act of transmitting messages secretly from a sender to the receiver. Cryptography is the act of encrypting messages to prevent the breach of Integrity, confidentiality and availability of a data, information or messages, from unknown third parties, which could be very harmful to the information.

• Private key :

Private key is a secret key expected to be held privately, because it has ownership power, that is a holder of the private key can perform withdrawal action and other very important actions/ activities in an account, that is a breach in confidentiality of the private key, may lead to losing of asserts in a wallet and it may result to lose to right to perform some important activities such as verifications etc. It can also be defined as a type of Cryptography that makes uses of algorithms to decrypt or encrypt data

Benefit

It is More secure:

Unlike the public key public keys are private,the are supposed to be known by only the owner of the account and the private key is said to be longer than the pubic key making it difficult to hack.

• Public key;

Public key also known as Asymmetric keys used in non-custodial wallets, they are types of keys that are used to encrypt data, that is it can be used hide data while private key is used to view the data. The public key is a type of Cryptography that can be sent to the entire public.

Private key and public key in respect to custodial wallets and non-custodial wallets.

The public key and private key are mostly used in the non-custodial wallets. Because the are the are mostly used in a Decenterlized platform. The private key and public keys are not advisable to be used in a Custodial wallets. (centralized platform) because it would lose it security reliable potentials, because if it been kept by an admin, It would be easily hacked or admin can still temper with users assert, fund, money or account.

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What do you think about the Proof of Keys Day? What precautions would you take when participating?

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Proof of keys Day is a nice ideal and i am in full support to the idea because it's Is an act of confirming ones account, that is it's an event that users, traders, and owners of account, Intentionally withdraw or transfer all their asserts, funds or money from a Centralized exchanges to a Decenterlized wallet, to confirm the asserts/ money seen on their account is not just a virtual value, but a real value that actually exit and can be withdrawn.

Proof of keys is an event that is held mostly on the 3 ^rd of January, it was first held in the year 2019, which was Bitcoin 10 years anniversaries. It is similar to the famous bank run experience that occured some years ago.

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What precautions would you take when participating?

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• Be careful while transferring asserts ensure you copy the right wallet address, to avoid sending asserts to the wrong wallet, which will cause a permanent lose of assets or money.

• These can also cause large lose of asserts, because the value of the assert might be cheaper when withdrawal made, so therefore selling back the assert will be at a higher cost causing the trader lose some assert.
  For example if the price of steem before proof of key is $208, and John performed a proof of key, when John wanted to sell the steem back but it had risen to $1000, for a John to sell back his steem he would be experiencing major lose

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Do you prefer Centralized exchanges or Decentralized wallets for storing your Cryptocurrencies? Why?

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To be sincere i would prefer the Decentralized wallet

It's safest to use:

It's is safest in the sense that it's is far more secured than a centralized exchanges, because only the owner of the account or holder of the private keys are entitled to make withdrawals and perform sensitive activities on the account. Unlike in a centralized exchanges where the center node can be hacked, to access important details about other node, connected to the center node, in a Decenterlized exchange they are no center nodes, therefore if an account is hacked it doesn't affect the closest account.

Secondly unlike the centralized exchange that uses plain text to create password that can be memorized, the decentralized exchange make use of encrypted password or keys which are called private and public keys which can't be easily memorized by any hacker.

It's fastest to use:

Unlike the centralized exchanges like our banks, where you have to stay on a large que, then move from one or two offices after which you might be told to come back the next day or week. These act slows and stress users. But in the decentralized exchange the users can perform their activities at the comfort of the house, at faster time (as long as you have a good network ).

It gives users full control:

Decentralized Wallets gives users full authority or freedom to make any transactions, of any amount, at any given time and to any give account, with out permission from any center node of administrator.

Anonymity:

Another advantage of a Decenterlized wallet is that important details about a traders are hidden and unknown. The only information seen are information that will be needed for a successful transaction. That is i could sell steem to my roommate on a decenterlized wallet, and i won't know i sold the steem to my roommate.

It's private:

All activities made by a user on a decenterlized wallet are known to only the user of the account.

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Let us assume it is Proof of Keys Day:

a.)Transfer at least 20 Steem from your Binance wallet to your Steemit wallet.

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Step 1:

• I opened binace mobile app on my phone.
  

Step 2:

• Go to the Wallet to access your stored steem
  

Step 3:

• Then you search for steem
• Then then click on withdraw
  

Step 4:

• Then you confirm your transactions

Step 5:

• I have successfully transferred steem from Binance to steemit
  

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b.) Transfer at least 50 TRX from your Binance wallet to your TronLink wallet.
(Provide Screenshots and make sure you have your Keys)

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Step 1:

• I opened binace mobile app on my phone.

Step 2:

• Go to the Wallet to access your stored TRX
  

Step 3:

• Then you search for TRX
• Then then click on withdraw
  

Step 4:

Then you confirm your transactions

Step 5:

You have successfully transferred Tron from Binance

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5 In one statement, what is the major significance of the transfers in question 4.

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The major significant of the transfer of steem and Tron is to confirm if the value of steem and Tron on your binace account is real and not virtual.

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Conclusion

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First of i want to thank our awesome prof @awsomenonso for his hard work and time. Now i can proudly say that i now understand the full concept behind, proof of key. Proof of key is an awesome ideas to help owners of account, not to be duped or scammed by admin of centralized exchange. Now i would join the world on 3rd January, to perform or celebrate word annual proof of key day. I also want to use this opportunity to thank steemcurator01 for the awesome project #club5050, since I started steem i have never made power down, because of how i love helping steem Blockchain grow.
Thanks prof for your time.