Blockchain Basics

What is blockchain?

• A form of artificial intelligence

• A decentralized, distributed ledger technology that records transactions across multiple computers in a secure and transparent manner.

• A centralized database system

• A type of cryptocurrency

What are the key features of blockchain technology?

• Decentralization, transparency, immutability, security, efficiency

• Centralization

• Flexibility

• Anonymity

How does blockchain ensure security?

• Blockchain uses plain text storage for data

• Blockchain has no encryption mechanisms

• Blockchain relies on centralized servers for security

• Blockchain ensures security through decentralization, cryptographic hashing, consensus mechanisms like Proof of Work or Proof of Stake, and immutability of data once added to the chain.

What is a block in a blockchain?

• A block in a blockchain is a data structure that contains a group of transactions.

• A block in a blockchain is a physical obstacle in a video game.

• A block in a blockchain is a musical term for a section of a song.

• A block in a blockchain is a type of cryptocurrency.

Explain the concept of decentralization in blockchain.

• Decentralization in blockchain relies on a centralized database for storing all information.

• Decentralization in blockchain involves distributing control and data across a network of computers, rather than relying on a single central entity.

• Decentralization in blockchain means that only a few computers are involved in the network.

• Decentralization in blockchain involves a single central entity controlling all data and operations.

What is the difference between public and private blockchains?

• Public blockchains are controlled by a single entity, while private blockchains are open to the public.

• Public blockchains are open to anyone, decentralized, transparent, and secure through consensus mechanisms like Proof of Work, while private blockchains restrict access to specific participants and are centralized.

• Private blockchains are more transparent than public blockchains.

• Public blockchains have lower security measures compared to private blockchains.

What are some real-world applications of blockchain technology?

• Some real-world applications of blockchain technology include supply chain management, voting systems, digital identity verification, smart contracts, and decentralized finance (DeFi).

• Pet grooming services

• Weather forecasting

• Online shopping

What are the challenges faced by blockchain technology?

• Scalability, energy consumption, regulatory uncertainty, lack of standardization, security vulnerabilities

• Interoperability issues

• Lack of public interest

• Blockchain technology is too expensive

• What is the role of a node in a blockchain network?

• • A node is a form of artificial intelligence.

• • A node is a type of cryptocurrency.

• • A node is a computer that participates in validating and relaying transactions on the blockchain network.

• • A node is a physical object used in networking.

What is a characteristic feature of a public blockchain?

• • Requires permission to join and participate

• • Operates with a central authority

• • Transactions are visible to anyone

• • Typically used for internal business operations