Homework on Consensus - Questions

Blockchain and Bitcoin 101
#2011

  1. Consensus determines truth. This means that we trust the blockchain network as a whole to provide truth and that you need the whole network to reach consensus to determine truth.

  2. Whoever controls a centralized database can change it in whatever way they want.

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#2012

  1. In Blockchain, consensus determines the truth by requiring many multiple parties agreeing on every transaction in order for it to be added to the blockchain - all parties are incentivised to tell the truth on all transactions

  2. Truth in a centralised database is governed by a single entity, thus requiring a lot of trust in recorded transactions - trust is not needed in a decentralised system such as blockchain, with all transactions being confirmed by a network of separate entities

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#2013
  1. Blockchain, consensus determines truth by the majority.
  2. A central database can be adjusted at any time by whoever controls it
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#2014

Consensus

  1. What does it mean when we say that in blockchain, consensus determine the truth?

Consensus determines the truth via the validation of a result on a network of independent/autonomous nodes/miners. Each transaction’s accuracy is tested mathematically prior to approval/authenticity. Mutual authenticity by nodes/miners confirms a transaction as true and belonging as a permanent entry on the public ledger.

  1. How is this different from how truth is determined in a central database?

Unlike a centralised database, a decentralised network relies upon a consensus of many independent nodes/miners to provide a validity of transactions on a public ledger. Participation of a node/miner necessitates possessing the same copy of the shared encrypted public ledger, further validating the consensus mechanism. Incentive for handling transactions within the consensus mechanism is rewarded to each node/miner according to the validity of the agreed upon/approved result shared by the network.

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#2015

Consensus determines the truth as a Network of computers need to agree and are able to verify the information you may require.

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#2016

This is different from how truth is determined in a central data base as information can be changed to suit a particular situation.

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#2017

  1. Consensus determines truth because all the people/entities in the network have to be in agreement before a transaction is added to the blockchain, so it’s impossible to cheat since all the computers in the network know everything about the transaction, hence you cannot say it’s so without all of the entities in the network agreeing.

  2. Central databases are central, power is centralized to one or a small group of individuals and hence their is no one That’s objective Verifying it ,We have to take their word (trust) that they are not lying. auditors can make errors , be tricked or bought so even that system is flawed .

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#2018

1.- It`s un agreement from validity parties or entities (nodes) about an outcome claimed. This happened because nodes are incentived to tell the truth other ways they will no have any reward (i.e: money).

2.- Central database on one single entity is judge and jury. Truth can not or is unpractical to be proved from outside.

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#2019

1.it means that the consensus network makes sure that the newly added transactions are valid and this is decided on collectively by the people

2.in a central database there is an authority and if they are corrupted they can edit or alter the database

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#2020

1-in blockchain ,being a decentralized system, only after all the computers within the network agree on a transaction being valid the transaction can proceed.
2-In a central database the monopoly of truth lies in the hands of the central authority

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#2021

Hey @RARA1208! Welcome to the forum :slight_smile:

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#2022

Homework on Consensus - Questions

  1. What does it mean when we say that in blockchain, consensus determine the truth? verifying through multiple sources and those multiple sources are likely to tell the truth because of incentive.

  2. How is this different from how truth is determined in a central database? we don’t trust a single entity to tell the truth, we verify though multiple sources; consensus.

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#2023
  1. Many parties involved have double-checked and agreed to list something on the blockchain and are incentives, to be honest, while doing so.
  2. Because a centralized database is under the control of a set number of entities that are usually private and aren’t always incentivized, to tell the truth.
2 Likes
#2024

  1. Consensus in blockchain is when all the computers on the network agree that a certain transaction is valid and can therefore be verified, processed and added to the ledger.

  2. In a centralised database, whoever controls the database has the ability to edit and tamper with that data. They can also add or remove data from the database and no one else would know, because no one else can see into the database. In contrast, the bitcoin blockchain is a decentralised database, or public ledger. New information can be added to it but not removed, and all the data on the blockchain is public.

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#2025

  1. At least 51% of the network must agree that what is being presented is true.

  2. Central database means a single entity can determine what is truth and can be corrupted.

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#2026

100% of the network must agree on the same consensus, otherwise they would fork :slight_smile:

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#2027
  1. Consensus determines the truth by all nodes agreeing on what transactions occur on the blockchain
  2. In a central database only one entity is required to determine truth or make a transaction
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#2028 
  1. What does it mean when we say that in blockchain, consensus determines the truth?

Answer: When a decision is made on the blockchain it is made from a consensus that is built on incentives, for it to work all the nodes need to get to an agreement.
This means that all the nodes in the Blockchain are incentivized to tell the truth.

  1. How is this different from how truth is determined in a central database?

Answer: The difference is that in a centralized database there is no need for an agreement and the centralized database will take all the decisions, so in other words, the owner makes its own “truths”
which also can be risked to be altered.

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#2029

  1. What does it mean when we say that in blockchain, consensus determine the truth?
    Consensus is removing trust through financial incentives. All of the computers in the network have to agree about what is true and what is not true. Only after this are the transactions sent to the public ledger. Being trustless means no one person can make the final decision and the decisions are being double checked and verified by several parties. Provenance can only work because of consensus.

  2. How is this different from how truth is determined in a central database?
    In a central database or supply chain any company can say whatever they want and there is no proof of it. With consensus people have to play by the rules and tell the truth because it benefits them financially. If they do not, they are only hurting themselves and this can be seen in real time. In a central database, there is no way to stop cheating. When the database is decentralized and it becomes a supply network, there is global consensus and everything is verified, eliminating the possibility of corruption.

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#2030
  1. On the public ledger Consensus is the act of data verification that has to be performed by each node of the network. Confirmation of the new transaction has to have the Consensus of the entire network.
  2. Each player is incentivised to verify the data that other players place in the network. Verification is achived by math; TRUST is rather an eclectic activity…
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