CCI - Certified Cryptocurrency Investigator Cryptocurrency Fundamentals Questions and Answers

Question 1

An investigator is analyzing a series of Bitcoin transactions related to a darknet market.
They notice that a suspect's address receives 5 BTC.
The suspect then sends 1.5 BTC to another address.
In the context of the UTXO model, what best describes the state of the original 5 BTC?

Accepted Answer

The original 5 BTC UTXO is consumed, and two new UTXOs are created: one for 1.5 BTC and one for 3.5 BTC as change.

Answer

The original 5 BTC UTXO is partially spent, with a remaining balance of 3.5 BTC.

Answer

The original 5 BTC UTXO is now linked to the recipient's address, and the sender's balance is debited by 1.5 BTC.

Answer

The original 5 BTC UTXO is flagged as 'spent' and archived, while a new 1.5 BTC UTXO is created for the recipient.

Question 2

Which of the following best describes the primary function of a cryptocurrency mixer or tumbler in a financial investigation context?

Accepted Answer

To pool and mix transactions from multiple users to obscure the trail of funds.

Answer

To exchange one type of cryptocurrency for another, such as Bitcoin for Monero.

Answer

To provide a decentralized exchange platform for peer-to-peer trading.

Answer

To split a large transaction into smaller, less conspicuous transactions.

Question 3

A Certified Cryptocurrency Investigator is tasked with tracking the flow of funds from a ransomware attack. Which tool is essential for viewing transaction histories, wallet balances, and the movement of cryptocurrency on a public blockchain?

Accepted Answer

A block explorer

Answer

A cold storage wallet

Answer

A mining software client

Answer

A decentralized application (dApp) browser

Question 4

A smaller, less-established Proof-of-Work (PoW) altcoin has experienced a sudden and significant reorganization of its blockchain, resulting in reversed transactions. This has allowed an attacker to double-spend a large amount of the altcoin. What type of attack has most likely occurred?

Accepted Answer

A 51% attack

Answer

A phishing attack

Answer

A Sybil attack

Answer

A Distributed Denial-of-Service (DDoS) attack

Question 5

An investigator needs to advise a witness on how to securely store a large amount of cryptocurrency that will not be needed for frequent transactions. Which type of wallet would offer the highest level of security against online threats?

Accepted Answer

A hardware wallet.

Answer

A mobile wallet on a smartphone.

Answer

A custodial wallet on a major exchange.

Answer

A desktop software wallet.

Question 6

In the context of blockchain analysis, what is the primary goal of 'address clustering'?

Accepted Answer

To group multiple blockchain addresses that are likely controlled by the same individual or entity.

Answer

To group addresses that have transacted with each other within a specific timeframe.

Answer

To identify all addresses that were created by the same type of wallet software.

Answer

To determine which addresses are associated with known illicit entities like darknet markets.