[Solved] Block Chain MCQ [Free PDF] - Objective Question Answer for Block Chain Quiz - Download Now! (2024)

1. Merkle
2. Binary
3. AVL
4. Red black
5. None of the above/More than one of the above

The correct answer is option 1.

Concept:

Blockchain:

Blockchain technology is most simply defined as a decentralized, distributed ledger that records the provenance of a digital asset.

Merkle tree:

A Merkle tree stores all the transactions in a block by producing a digital fingerprint of the entire set of transactions.

• It allows the user to verify whether a transaction can be included in a block or not.
• Merkle trees are made by hashing pairs of nodes repeatedly until there is only one hash remaining.
• The Merkle Root, or Root Hash, is the name given to this hash. The Merkle Trees are built in a bottom-up manner.

Hence the correct answer isMerkle.

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1. It runs on the technology of block chain.
2. Bitcoins are hidden in data blocks and can be mined.
3. Bitcoins as a medium of payment is authorized by Reserve Bank of India.
4. Bitcoin can be sold and bought on Exchange platforms.
5. None of the above/More than one of the above

• Bitcoin as a medium of payment is not authorized by RBI.
• RBI recently issued a public advisory against the use of bitcoins. It said that creation, trading or usage of virtual currencies like Bitcoins as a medium of payment is not authorized by any central bank or monetary authority.
• Bitcoin runs on block-chain technology which is much more transparent than any of the existing techniques.
• Block-chain is a growing list of record which consist of timestamp and transaction data which can be accessed anytime from anywhere.
• Use of block-chain technology will bring transparency and accountability in banking system of India.

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1. only i
2. only ii
3. only iii
4. More than one of the above
5. None of the above

Concept:

A blockchain is “a distributed database that maintains a continuously growing list of ordered records, called blocks.” These blocks “are linked using cryptography.

Each block contains,

• A cryptographic hash of the previous block,
• A timestamp, and
• Transaction data.

Hence the correct answer isonly I, ii, and iii.

Additional InformationA blockchain is a decentralized, distributed, and public digital ledger that is used to record transactions across many computers so that the record cannot be altered retroactively without the alteration of all subsequent blocks and the consensus of the network.

The blocks created by various miners are chained together to form what is known as a truly distributed public.

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1. A blockchain is a centralized digital ledger consisting of records called blocks.
2. A blockchain is a decentralized, distributed, digital ledger consisting of records called blocks.
3. A blockchain is a digital database consisting of records called class.
4. More than one of the above
5. None of the above

Correct Option 2).

1. A blockchain is a digitally distributed, decentralized, public ledger that exists across a network.
2. A blockchain is a distributed database that is shared among the nodes of a computer network.
3. As a database, a blockchain stores information electronically in digital format.

Key Points

Blockchains are best known for their crucial role in cryptocurrency systems, such as Bitcoin, for maintaining a secure and decentralized record of transactions. The innovation with a blockchain is that it guarantees the fidelity and security of a record of data and generates trust without the need for a trusted third party.

• Blockchain is a type of shared database that differs from a typical database in the way that it stores information; blockchains store data in blocks that are then linked together via cryptography.
• As new data comes in, it is entered into a fresh block. Once the block is filled with data, it is chained onto the previous block, which makes the data chained together in chronological order.
• Different types of information can be stored on a blockchain, but the most common use so far has been as a ledger for transactions.
• In Bitcoin’s case, blockchain is used in a decentralized way so that no single person or group has control—rather, all users collectively retain control.
• Decentralized blockchains are immutable, which means that the data entered is irreversible. For Bitcoin, this means that transactions are permanently recorded and viewable to anyone.
  

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1. A blockchain is a centralized digital ledger consisting of records called blocks.
2. A blockchain is a decentralized, distributed, digital ledger consisting of records called blocks.
3. A blockchain is a digital database consisting of records called class.
4. It is a private ledger that no one can inspect.
5. None of the above

Correct Option 2).

1. A blockchain is a digitally distributed, decentralized, public ledger that exists across a network.
2. A blockchain is a distributed database that is shared among the nodes of a computer network.
3. As a database, a blockchain stores information electronically in digital format.

Key Points

Blockchains are best known for their crucial role in cryptocurrency systems, such as Bitcoin, for maintaining a secure and decentralized record of transactions. The innovation with a blockchain is that it guarantees the fidelity and security of a record of data and generates trust without the need for a trusted third party.

• Blockchain is a type of shared database that differs from a typical database in the way that it stores information; blockchains store data in blocks that are then linked together via cryptography.
• As new data comes in, it is entered into a fresh block. Once the block is filled with data, it is chained onto the previous block, which makes the data chained together in chronological order.
• Different types of information can be stored on a blockchain, but the most common use so far has been as a ledger for transactions.
• In Bitcoin’s case, blockchain is used in a decentralized way so that no single person or group has control—rather, all users collectively retain control.
• Decentralized blockchains are immutable, which means that the data entered is irreversible. For Bitcoin, this means that transactions are permanently recorded and viewable to anyone.
  

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1. Merkle
2. Binary
3. AVL
4. Red black

The correct answer is option 1.

Concept:

Blockchain:

Blockchain technology is most simply defined as a decentralized, distributed ledger that records the provenance of a digital asset.

Merkle tree:

A Merkle tree stores all the transactions in a block by producing a digital fingerprint of the entire set of transactions.

• It allows the user to verify whether a transaction can be included in a block or not.
• Merkle trees are made by hashing pairs of nodes repeatedly until there is only one hash remaining.
• The Merkle Root, or Root Hash, is the name given to this hash. The Merkle Trees are built in a bottom-up manner.

Hence the correct answer isMerkle.

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1. Ledger
2. Wallet
3. Certificate authority
4. Hash

Key Points

Blockchain is a distributed ledger where data can be stored securely such that any alteration in the data is not possible. The technology behind Bitcoins is the Blockchain Network. Following are the components of a Blockchain network.

Node:

It is of two types. Full Node and Partial Node.

• Full Node:It maintains a full copy of all the transactions.
• Partial Node: It is also called a Lightweight Node because it doesn’t maintain the whole copy of the blockchain ledger

Ledger:

It is a digital database of information. Here, we have used the term ‘digital’ because the currency exchanged between different nodes is digitali.e cryptocurrency. There are three types of the ledger.Public Ledger, Distributed Ledger, andDecentralized Ledger.

Wallet:

It is a digital wallet that allows user to store their cryptocurrency. Every node in the blockchain network has a Wallet.Cryptocurrency wallets are mainly of two types are Hot wallets and Cold wallets.

Nonce:

A nonce is an abbreviation for “number only used once,” which is a number added to a hashed or encrypted block in a blockchain.

Hash:

The data is mapped to a fixed size using hashing. It plays a very important role in cryptography.

Hence the correct answer isthe certificate authority.

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1. Open blockchain network
2. Constraint blockchain network
3. Private blockchain network
4. Restricted blockchain network

The correct answer is option (3)

Concept:-

Blockchain is a distributed, unchangeable ledger that makes recording transactions and managing assets in a corporate network much easier.

There are four main types of blockchain networks:

1. Public blockchain network
2. Private blockchain network
3. Consortium blockchain network
4. Hybrid blockchain network

Key Points

• A private blockchain is a blockchain network that operates in a restricted context, such as a closed network, or is controlled by a single entity.
• Anyone with internet access can sign on to a blockchain platform to become an authorized node, and a public blockchain is non-restrictive and permissionless.
• Real estate is one of the many compelling use cases for hybrid blockchain. Companies can utilize a hybrid blockchain to run systems securely while exposing certain information to the public, such as listings.
• The fourth form of blockchain, known as a federated blockchain, is similar to a hybrid blockchain in that it combines private and public blockchain capabilities.

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1. No hidden fees
2. Fraud control & Access levels
3. Security & Speed
4. All of the Above

The correct answer is option 4.

Concept:

Blockchain technology:

Blockchain is a method of storing information in such a way that it is difficult or impossible to edit, hack, or trick the system. A blockchain is simply a digital record of transactions that is replicated and distributed throughout the blockchain's complete network of computer systems.

Benefits of blockchain technology:

• Enhanced Security.
• Enhanced Speed.
• Fraud control & Access levels.
• No hidden fees.
• Better Transparency.
• True Traceability.
• Improved Speed and Highly Efficient.

Hence the correct answer isAll of the Above.

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1. 1
2. 3
3. 4
4. 2

Correct Option is 4).

In the blockchain, a fork is defined variously as:

What happens when a blockchain diverges into two potential paths forward.
a change in protocolor.
a situation that "occurs when two or more blocks have the same block height".

Additional Information
The decentralized nature of public blockchains (for example, Bitcoin and Ethereum) means that participants on the network must be able to come to an agreement as to the shared state of the blockchain(shared public ledger and blocks and the blockchain protocol).

• The unanimous consensus amongst the network nodes results in a single blockchain that contains verified data(transactions) that the network asserts to be correct. However, many times, the nodes in the network can’t come to a unanimous consensus regarding the future state of the blockchain.
• This event leads to forks (like a tuning fork used in experimental science), meaning that point in which the ideal ‘single’ chain of blocks is split into two or more chains which are all valid.

Types of Fork:-

1. Soft Fork: when the blockchain protocol is altered in a backward-compatible way.
2. Hard Fork: when the blockchain protocol is altered in a non-backward-compatible way.
3. Temporary Fork: when two miners mine a new block at the same time.

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1. A merger
2. A fork
3. A division
4. None of the above

Correct Option is 2).

In the blockchain, a fork is defined variously as:

What happens when a blockchain diverges into two potential paths forward.
a change in protocolor.
a situation that "occurs when two or more blocks have the same block height".

Additional Information
The decentralized nature of public blockchains (for example, Bitcoin and Ethereum) means that participants on the network must be able to come to an agreement as to the shared state of the blockchain(shared public ledger and blocks and the blockchain protocol).

• The unanimous consensus amongst the network nodes results in a single blockchain that contains verified data(transactions) that the network asserts to be correct. However, many times, the nodes in the network can’t come to a unanimous consensus regarding the future state of the blockchain.
• This event leads to forks (like a tuning fork used in experimental science), meaning that point in which the ideal ‘single’ chain of blocks is split into two or more chains which are all valid.

Types of Fork:-

1. Soft Fork: when the blockchain protocol is altered in a backward-compatible way.
2. Hard Fork: when the blockchain protocol is altered in a non-backward-compatible way.
3. Temporary Fork: when two miners mine a new block at the same time.

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1. Transparency
2. Immutability
3. Decentralization
4. All of the Above

The correct answer is option 4.

Concept:

Blockchain technology:

Blockchain is a method of storing data in such a manner that it is difficult or impossible to alter, hack, or defraud it. A blockchain is a digital log of transactionsthat is copied and distributed throughout the blockchain's complete network of computer systems.

Three pillars of blockchain:

Decentralization:

The actual definition of decentralization is the absence of a central authority. If we apply this notion to Blockchain, it indicates that the network is self-governing and does not have a central authority.

Transparency:

In real life, transparency refers to anything that has no opacity. When we apply this notion to Blockchain, it means that there is no privacy. To be more specific, when it comes to transactions, all transactions are public and can be read by everyone on the network.

Immutability:

Immutable implies precisely what it sounds like in real life: something that cannot be changed. When we talk about blockchain, we're referring to the fact that once a transaction is published into the system, it can't be changed.

Hence the correct answer isAll of the Above.

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1. Information Technology
2. Business Technology
3. Blockchain Technology
4. Medical Technology

The correct answer is option 3.

Concept:

• Cryptocurrencies (Bitcoin) are digital currencies that employ blockchain technology to record and safeguard every transaction.
• A blockchain is a database that saves encrypted chunks of data and then connects them to build a chronological single source of truth for the data.
• Blockchain technology is a framework that maintains public transactional information, also known as blocks, in many databases connected by peer-to-peer nodes in a network. This type of storage is sometimes referred to as a 'digital ledger.'
• A cryptocurrency (for example, Bitcoin) may be used as a digital form of payment to pay for everything from little transactions to huge purchases such as automobiles and houses.

Hence the correct answer isBlockchain Technology.

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1. A blockchain is a centralized digital ledger consisting of records called blocks.
2. A blockchain is a decentralized, distributed, digital ledger consisting of records called blocks.
3. A blockchain is a digital database consisting of records called class.
4. None of the above

Correct Option 2).

1. A blockchain is a digitally distributed, decentralized, public ledger that exists across a network.
2. A blockchain is a distributed database that is shared among the nodes of a computer network.
3. As a database, a blockchain stores information electronically in digital format.

Key Points

Blockchains are best known for their crucial role in cryptocurrency systems, such as Bitcoin, for maintaining a secure and decentralized record of transactions. The innovation with a blockchain is that it guarantees the fidelity and security of a record of data and generates trust without the need for a trusted third party.

• Blockchain is a type of shared database that differs from a typical database in the way that it stores information; blockchains store data in blocks that are then linked together via cryptography.
• As new data comes in, it is entered into a fresh block. Once the block is filled with data, it is chained onto the previous block, which makes the data chained together in chronological order.
• Different types of information can be stored on a blockchain, but the most common use so far has been as a ledger for transactions.
• In Bitcoin’s case, blockchain is used in a decentralized way so that no single person or group has control—rather, all users collectively retain control.
• Decentralized blockchains are immutable, which means that the data entered is irreversible. For Bitcoin, this means that transactions are permanently recorded and viewable to anyone.
  

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1. e-Wallet
2. Bank account
3. Floppy Disk
4. In your pocket ​​

Key Points

Cryptocurrency is stored ine-Wallet. A custodial wallet could be considered the default option for crypto storage. A third party holds your crypto for you, either through cold (offline) storage, hot (online) storage, or a combination of the two.

• A crypto wallet does not store your digital coins, but it holds a private key, which allows you to trade cryptocurrency online. This private key is your digital identity to the cryptocurrency market and anyone who gets hold of this can perform fraudulent transactions or steal your crypto coins.
• When you buy coins from cryptocurrency exchanges, apps, or stockbrokers, they typically put it in a custodial wallet they control. If you want to store it yourself, you can transfer it to your own hot or cold e-Wallet.
• Offline crypto storage is widely considered the best option from a security perspective, and many platforms use it to protect most of their own crypto. While your crypto is offline, it can't be stolen by hackers. For large amounts of cryptocurrency, a cold wallet is a good investment.
  

Hence the correct answer ise-Wallet.

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