Blockchain Technology MCQ Questions And Answers
This section focuses on “Basics” of Blockchain. These Multiple Choice Questions (MCQ) should be practiced to improve the Blockchain skills required for various interviews (campus interviews, walk-in interviews, company interviews), placements, entrance exams and other competitive examinations.
Q1) Which of these facts about a ledger is NOT CORRECT?
A. A ledger is used purely for the reporting of cash
B. A ledger consists of transactions, often governed by contracts
C. A ledger is a system of record
D. A ledger describes the inputs and outputs of a business.
Ans: A ledger is used purely for the reporting of cash
Q2). A blockchain is a type of?
A. Object
B. Database
C. Table
D. View
Ans: Database
Q3). What is the core requirement(s) for a business BlockChain?
A.Shared ledger, smart contract, privacy, and trust
B.Optimized cryptographic mining
C.A new cryptocurrency
D.Technical services, business services, and solution
Ans: Technical services, business services, and solution
Q4). A smart contract is ….
A. Business rules implied by the contract embedded in Block Chain
B. A cognitive contract
C. A legal contract is written in constrained English
D. None of these
Ans: Business rules implied by the contract embedded in Block Chain
Q5). In a business Blockchain, transaction….
A. Cannot be modified
B. Are added to the ledger with appropriate confidentiality
C. Are endorsed by a subset of business network participants
D. All of these
Ans: All of these
Q6). What is not a classification for a node?
A. Full node
B. Lightweight node
C. Merkle node
D. Miner node
Ans: Merkle node
Q7. What is an example of the use of cryptography in a blockchain?
A. Accessing private or hybrid blockchains by using a private key
B. Creating cryptocurrency as a reward for mining nodes
C. Keeping blockchains secure from 51% attacks by corrupt nodes
D. Securing transfers of cryptocurrency between recipients
Ans: Securing transfers of cryptocurrency between recipients
Q8). How do blockchains use private and public-key cryptography?
A. Asymmetric encryption allows a sender to transfer cryptocurrency to a public key. The recipient can then access these funds with their private key and hold it in their wallet.
B. In public-key cryptography, one key is used to encrypt and decrypt transaction. The sender uses this key to send cryptocurrency and the recipient’s wallet holds it after decryption.
C. Symmetric encryption allows a sender to transfer cryptocurrency to another user. The recipient can then access their funds when the sender grants access to their private key.
D. The algorithm in the blockchain encrypts and stores private and public keys to all user’s wallets. The user then accesses their funds through their twenty-word passphrase key.
Ans: Asymmetric encryption allows a sender to transfer cryptocurrency to a public key. The recipient can then access these funds with their private key and hold it in their wallet.
Q9). How do blockchains function like ledgers?
A. They hold a record of all transactions that have ever occurred on a network.
B. They hold vast amounts of transaction data as a centralized database.
C. They periodically update all balances of each wallet to the blockchain.
Ans: They hold a record of all transactions that have ever occurred on a network.
Q10). Number of bitcoins to be ever created would depend upon demand-supply in the market?
A. True
B. False