Homework on Consensus - Questions

Blockchain and Bitcoin 101
#2611

  1. As a consensus unites truth together it strengthens the trustless manner of how the blockchain is ran.

  2. This is established in a complete decentralized manner using code and reduces the amount of error.

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#2612

  1. It means that the truth is determined by getting a network of computers/nodes to agree on the veracity of something. If they reach this consensus.

  2. Likewise as in the examples of the ā€œyogurt companiesā€ a central institution or a central database can claim a certain statement is true without having no one to back up that affirmation.

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#2613
  1. This means that all parties have come to a mutual agreement to determine the truth.
  2. The difference here is decentralization is at work to verify the truth.
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#2614
  1. Consensus determine the truth, means that if the network agrees it becomes a fact.
  2. Not a whole network has to agree, but only that company or central authority.
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#2615
  1. Consensys does a comparison on the entire legacy of the coin in a blockchain. the history must match on all system including any patches, corrections. This can not be ā€œhackedā€ given the number of computers that share the history of the network.
  2. consensus removes the need for trust because the system validates itself by having access to the evolution of the chain.
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#2616
  1. the system of verification is decentralized, and multiple computers and people in the supply chain have records and are able to verify, or come to consensus, about the truth of an exchange
  2. in a central database, the transaction/proof/information is stored within only one place or system, instead of by anyone with skills and a computer. When itā€™s only stored in one place, we rely entirely on an auditor and trust them to tell us what they find.
2 Likes
#2617

What does it mean when we say that in blockchain, consensus determine the truth?
Transactions are added to the blockchain only when all the computer nodes agree that the information presented is truthful - that is it is agreed by consensus.

How is this different from how truth is determined in a central database?
In a central database, the truth may be determined politically. In blockchain, consensus is agreed by each individual node being financially incentivised equally to tell the truth.

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#2619

  1. All nodes in the network have to agree that the information being added by every new block is consistent with their records. This ensures that the network can be trusted and that no malicious blocks are made part of the chain.

  2. In a central database, there is no network providing verification of each change, so changes can be added from a single point of entry and will only be verified by the entity guarding the DB. Guarding entities can be corrupted and their interests may change, thus the need for financial incentives and consensus.

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#2620
  1. We only consider verified transactions as the truth. Transactions get verified by reaching consensus. Transactions that donā€™t get enough verifications are seen as untruthful. Itā€™s trustless so it can only be the truth
  2. A central database is owned by a single institution. This puts all the power in the hands of this institution and probably a handful of people get to decide which transactions are correct and which are not. You have no choice but to trust this institution.
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#2621

  1. In blockchain, consensus determines the truth because all individuals contributing to the blockchain network are financially incentivized to tell the truth. The consensus that all those individuals reach in terms of the truth of each proposed entry to the blockchain is not the result of good faith but of each contributorā€™s self-interest, as in any sound economic system that takes human nature into consideration;

  2. A central databaseā€™s ā€œtruthā€ is determined by the entity that controls and manages it, which may benefit from registering lies as truth. It does not have a whole decentralized network validating its entries

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#2622
  1. What does it mean when we say that in blockchain, consensus determines the truth?

With multiple validators needing too approve the multiple blocks of data prevents fraud and mistakes.

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

With too many supply sources it can be difficult too audit alone and information can be easily manipulated. With consensus it prevents the false information and tracks all the multiple sources it transacts with.

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#2623

  1. There is a network of computers that verify that it is true. All the decisions are made together where several parties are agreeing/deciding that something is true and valid.

  2. In a central database, the data/information can be manipulated and changed and so this type of centralized system can be cheated or altered.

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#2624

  1. On the blockchain consensus determines the truth because nodes work together to verify data based on past transactions. This network stops misinformation by disallowing faulty transactions not verified on all copies of the ledger.

  2. In a central database the data can be altered because data is stored and verified by individuals. Transactions are not open to the public. The inability to track data in central databases allows for misinformation and tampering.

1 Like
#2625

[quote=ā€œivan, post:1, topic:8425, full:trueā€]
Homework on Consensus - Questions

  1. What does it mean when we say that in blockchain, consensus determines the truth?
    When everybody agrees that the product or service is authentic and everyone agrees on it.

  2. How is this different from how truth is determined in a central database?
    Products or services can be it can be manipulated or falsified without any evidence.

1 Like
#2626
  1. By saying that in blockchain consensus determines the truth, it is meant that the data has been verified so it is true.
  2. There is only one authority who determines the truth in a central database, so it has all the power to manipulate it.
1 Like
#2627

1.) In blockchain consensus determines the truth by having a network of nodes agree on transactions before they are added to the blockchain. Nodes in the network are incentivized to play by the rules and be honest.

2.) In a central database the truth is controlled by the central authority that controls the data base. Transactions can be manipulated or even erased.

1 Like
#2628
  1. Consensus determine the truth because it is decentralized. You donā€™t have to TRUST that someone is telling the truth, because multiple nodes/computers/entities are verifying that those transactions happened.
  2. In a central database, someone can write whatever they want, and then change it later. It will be centralized, and we have to trust people instead of the systems.
1 Like
#2629

Homework on Consensus - Questions

  1. What does it mean when we say that in blockchain, consensus determine the truth?
    The majority of the node has to agree that any given change to the blockchain is genuine before it is allowed to be recorded onto the blockchain otherwise it will be rejected
  2. How is this different from how truth is determined in a central database?
    In a central database, the central controller determine and accept all changes which exposes the whole system a risk of abuse of power or fraud or other unforeseen events.
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#2630
  1. It means the decision on a transaction processing is not made by only one computer /public ledger , instead it is made with agreement of all computers/ledgers on the network
  2. The information in central database is the only source of truth , cannot be verified somewhere else
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#2631

1.In blockchain consensus is achieved through several systems validating a transaction or a claim by a system. Its achieved through incentives, thus everyone play by rules.
2.In central database, the central authority validates everything and its not verified by other entities. so corruption of records is possible.

1 Like