### - Fix all typos and grammatical errors - in this video we'll talk about the problems with Fiat and centralization. ### What does BYOB means? The whole puropse of the crypto is to "Be Your own Bank!!" - will come to this later. ### Blockchain- crypto usecase if you think about the usecases of Blockchain- crypto- if i try to list out i would come up with 5-6. it's still in the early stage. - Currency Aspects- P2P' - Defi - NFT's- Digital assestes - SmartContracts - DAO's ### Early days of internet and its usecases. similarly, if you ask the usecase of Innternet in early 1997-2000, people used to critisise this as www bubble. what could be the possible usecases? - Blogs- publishing - Forums. more over its centralized. controlled by central authority. what was the problem? we need to trust them and agree on thier set of rules. i'm not saying that we shouldn't trust them. we cant do anything about that. this is the default system today. what if there is another possible way? - Idea of Crypto is Decentralization. ### Banks- inflation, controlling funds Let's take an example of country which faces hyper inflation- Zimbawe. at one point they have printed 1T bill. during inflation- the value of currency decreses rapidly. ##### Since money loses its value, what are the options we have? - Buying Gold. why?- gold is something which has value. another option can be BTC- unlike gold, it has a store value. more on this later. ### With Gold, there comes another problem. i.e Medum of exchange. gold is not a best thing to exchange values. eg- let's say you are using gold as a mode of payment: - How would you divide into fractional part? - you need a weight scale always. - its not safe to carry the gold always. - its quite difficult to melt it and put it back to original form. This is why they introduced legal tender- a paper that is backed by gold. i.e is none other than currency note. this was goog untill they abondanded Gold Standard. ### whats the problem with centralization anyway? lets say you are in a country which faces hyper inflation, the value of currency is decresing rapidly. you have decided to carry all of yourassets, money and leave this country. - ofcourse taking all of yourgold will be difficult. - you decide to widhdraw all of your money from bank, the problem is they might not give it to you. you have wdhdrawal limits :( - OR- if the government tells the bankm not to issues any amount, your money us stuck in the bank. - let's say you have managed to widhdraw all of your money, would you be carrying a stach of cash which is worthless? - anyway you cant use this currency in another country right? if you have this in cryptos, with the help of yourcrypto wallets, no matter where do you live, you can load up instantly. all of your assets are stored in decentralized blockchain network. i would say it can be truely a borderless cureency. all you need is to remeber this 12 word. aka your seed phrases. the only catch is- you need to protect this throughout your life. if your keys are compermised, you'll lose your assets forever. more on walltets in upcoming days. ### Key takeaways - if bank helped peopole in making money, the rich gets richer. what i mean by that is, when you deposit yourmoney, they have rights to do whatever they want. they can invest that somewhere and make profits. in return what do we get? - we get on average 3% annual intrest. may be. not sure how much it is. ### Why? why is this? - a bunch of white guys made this system, why would they even change this, when its made them rich? - why should i take advice from banks?- not to invest in BTC? - ofcorce govt protects its people and maintain peace. but, strong central govenment protects people, but only their citizens. - Crypto has no borders,it can be a true global currency and censorship resistance for those who needs urjently. ### What can be the future? TBH- IDK - no currency starts with universal adoption, it takes time for the places to make it happen. - Crypto is the balance to the centralized model. ### Upcoming topics - How Bitcoin solves inflation problem? - Difference betwween storing the assets in Excanges and Crypto wallets. - How Does Crypto wallets works?