Fundamentals and Cryptography Flashcards
7 cards from real Blockchain Technology practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Fundamentals and Cryptography flashcards as text
What is a Hierarchical Deterministic (HD) wallet?
Answer: A wallet deriving many keys from a single seed in a tree structure
HD wallets generate a tree of keys deterministically from one master seed (BIP-32).
What does 'finality' mean in a blockchain context?
Answer: The point at which a transaction is irreversible
Finality is the guarantee that a confirmed transaction cannot be reversed.
Why are private keys never transmitted during a transaction?
Answer: Signatures prove ownership without revealing the key
Only the signature is broadcast, proving authorization while keeping the private key secret.
What is the difference between a coin and a token?
Answer: A coin is native to its own blockchain, a token is built on an existing chain
Coins are native assets of their blockchain, while tokens are issued on top of an existing platform.
What does a zero-knowledge proof allow a prover to do?
Answer: Prove a statement is true without revealing underlying data
Zero-knowledge proofs let a prover demonstrate a statement's truth without disclosing the data itself.
What is the main function of consensus mechanisms in a blockchain?
Answer: To agree on a single valid state of the ledger across nodes
Consensus mechanisms ensure all nodes agree on one canonical version of the ledger.
Which of the following is an example of a Proof-of-Stake consideration over Proof-of-Work?
Answer: Lower energy use by staking rather than mining
Proof-of-Stake selects validators by stake rather than computation, consuming far less energy.