Crypto Academy Season 3 Beginners' course - Homework Post for Task 3: Cryptocurrency and The Future

(1) What Is Cryptocurrency and How You Would Like To See Cryptocurrency In The Future?

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(2) What Is Bitcoin and what was the Aim Behind Bitcoin Invention? Is Cryptocurrency Good For A Business To accept As Payment? Why?

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(3) What Is Public Chain and What will be the Advantages and Disadvantages of Public Chain?

Answers to Question 1

What is cryptocurrency??
Cryptocurrency is a digital medium of exchange of assets or legal tender without any physical form off the Digital world. As we all know technology and science has been making things easier and faster for all of us. To implement the word easier and faster in transaction and businesses cryptocurrency was created. It is to be noted that cryptocurrency unlike the money we spend make use of a decentralised control which means the value of a cryptocurrency is not stated by an individual or an organisation but rather it is controlled by all the individuals using the currency as a means of exchange, asset or legal tender.

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Cryptocurrencies are used primarily outside existing banking and governmental institutions and are exchanged over the Internet. All transactions made using the crypto currency is been recorded on a publicly distributed ledger called Blockchain. Blockchain is a growing list of records in blocks that are linked together. The blocks contain the timestamp and transaction data of any exchange made with a cryptocurrency. Each block connect back to it's origin given the link to the transaction details of previous transaction made with it, which in turn makes blockchains resistant to modification of their data because once recorded, the data in any given block cannot be altered without altering all subsequent blocks.

Cryptocurrency started with the creation of bitcoin by someone known as in 2008 and usage of bitcoin started in 2009. Making bitcoin the number one crypto currency up till date. Other than bitcoin we have the altcoins. Altcoins is an acronym for alternative coins which are coins created after bitcoin to majorly serve modifications and improvements to some areas where the bitcoin is lacking In terms of transaction speed, energy consumption and to even allow the use of smart contract with decentralized application on the internet. Examples of altcoins include, Ethereum, ripple, dogecoin, stellar etc..

Cryptocurrency systems uses encryption methods to translate data into the code and this can be decrypted by the person who has a required key. This bring us to crypto currency wallet which is a program or a service on a Device which stores the public or private keys for transactions by generating algorithm or use the seeds phrase. In addition to this basic function of storing the keys, a cryptocurrency wallet serves as a safe or house for the coin and more often also offers the functionality of encrypting and signing information. Signing can for example result in executing a smart contract, a cryptocurrency transaction or identification of a particular cryptocurrency. Cryptocurrency exchange allow customers to trade cryptocurrencies for other assets, such as conventional fiat money, or to trade between different digital currencies.

How would I like to see crypto currency in the future??

Trade by banter was the first means of exchange before the use of money which is a note generally accepted by all. There are lots of places I would love to see crypto currency in the future, and that future is almost here. Lots and lots of progress had been made since the creation of bitcoin right up till this moment. In June 2021, El Salvador became the first country to accept Bitcoin as legal tender, after the Legislative Assembly had voted 62–22 to pass a bill submitted by President Nayib Bukele classifying the cryptocurrency as such.

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In the future, crypto currency should be our normal means of payment for transaction. A means of exchange can not be accepted during transaction if the means is not generally accepted by the public. The cryptocurrency users have been increasing yearly with a lot of major investors willing to use it as a standard of their transaction. In the future cryptocurrency will be the most used for transaction because of it's direct peer to peer network and it's anonymity giving a lot of security to its user. Looking at the different sectors, in the future, trading and e-commerce and retail segments are expected to hold a major market share when it comes to cryptocurrencies. The penetration of digital currencies in digital payments is expected to affect the cross-border transfers, and digital currencies have the potential to become the main vehicle for e-payment if not the only one. This will make digital payment services – powered by blockchain technology – the next great upheaval in global e-commerce growth. Financial institutions are also directed to blockchain technologies, which is expected to drive the market in upcoming years.

Cryptocurrency should be accessible even without personal device. Just like the modern Bank ATM outlet, cryptocurrency company should create a place to access wallet or make transaction using the seed phrase or a cards recognized by the machine.

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In the future I would love to see Cryptocurrency as we see money today.