Homework on Consensus - Questions

Blockchain and Bitcoin 101
#402

  1. Consesus determining truth in the blockchain means that what most people agree upon, will be agreed upon to be true.

  2. In a central database, truth is determined by the owner of the database. The truth may be the actual truth, or it may not which is where the problem lies.

#403

  1. Consensus determines the truth by all the different nodes on the network verifying. They are incentivised with money to tell the truth.

  2. A central database is controlled by one entity, therefore if it is in their interest to lie about a transaction they will be able to get away with it.

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#404

  1. It means that the collective has determined what is true and which all can verify to be accurate therefore no one single version of the truth can be pushed onto others and so removes the need for trust.

  2. In a central database the data is controlled by a single entity or group of central actors and truth can be manipulated to there liking. So trust has to be brought back into the equation.

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#405

  • What does it mean when we say that in blockchain, consensus determine the truth?
    consensus is created by multiple parties in the same network that agrees on the validity of a transaction, achieving provenance and so r.t.auditing. network verification and r.t.auditing work togheter to prevent fraud, simultaneusly network redundancy prevents accidental or intentional data loss.

  • How is this different from how truth is determined in a central database?
    in central database truth is determined in base of trust, auditing is more laborious and cant be in real time, data can be corrupted, lost or tempered with if the trust is broken.

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#406
  1. Consensus determines the truth because all the computers on the network must agree or disagree at the same time concerning a transaction or incentives.

2.In a central database the truth can be manipulated by the owners of the database and the decision making is done by that cental system which can be true or false but with a decentralised system like blockchain the consensus determines if the incentive is true or false as the decision is not central.

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#407

In a distributed network all nodes must be in agreement. There are incentives to encourage participants to tell the truth, so more than any other system a consensus blockchain defaults to being correct or truthful from the perspective of all participants. This is very different to how truth is determined in a central database where a single individual, company or government is trusted to validate the truth of the data; however, they are susceptible to bias, self-protection or even corruption.

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#408

  1. What does it mean when we say that in blockchain, consensus determine the truth?
    Because all decisions are make together and agreed by everyone, any lies or dishonesty can be traced and thru the network.

  2. How is this different from how truth is determined in a central database?
    The whole network is built on Incentive by telling the truth.

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#409

1.What does it mean when we say that in blockchain, consensus determine the truth?
The network of computers determine what is true and whats not in the sense that all decisions inside the network will be double checked and have to be agreed on by the whole system.

2.How is this different from how truth is determined in a central database?
It´s impossible to mingle with the data without the system knowing. To stay profitable in a competetive market the incentive to stay true to your words is equal to the amount of customers you can generate.

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#410

[quote=“ivan, post:1, topic:8425”]
Homework on Consensus - Questions

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

    This means that before it’s added to the blockchain ledger the entire network of nodes has to come to consensus or agreement within the rules of the protocol once agreed upon then it becomes truth. Then it is immutable and cannot be manipulated.

  2. How is this different from how truth is determined in a central database?
    In a centralized data base it’s the administrator of the network that can change and alter the ledger for their agenda. So then they can also go back and manipulate data from the past also to serve their agenda.

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#411

Consensus removes the need for trust via a network of players agreeing on what actually happened. Financial incentives motivate players to tell the truth so players gain money by being honest about what happened. In a central database, truth is determined by the player who owns the central database and that player does not necessarily get a financial reward for telling the truth. In fact, the opposite is often the case these days where fraud is an intrinsic part of the business model.

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#412
  1. What does it mean when we say that in blockchain, consensus determine the truth?
    Don’t trust , verify. All computers on the blockchain have to agree( incentivice) on the rules after verifying the data with their own database.
  2. How is this different from how truth is determined in a central database?
    Central database can be controlled by a central authority/person/owner , rules can be changed and modified to their need.
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#413

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

The blockchain computers are incentivised to check and add the transaction. Once checked, and a consensus is reached the transaction is verified, it is impossible to change or erase, therefore the consensus determines the verification and that makes it trustworthy, although there is no need for trust. The verification process in itself is the key.

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

There is no outside verification, no independent check and balance, the owner or operator has all the power to add, erase or change, so this is based on trust of one person or one company.

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#414

  1. All nodes in the blockchain confirm the transactions which forms a consensus that everyone agrees on, so no one can lie about what the truth is.

  2. This is different from how truth is determined in a central database because people can delete or change the information and the central authority of the database is the one who decides what the truth is.

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#415

Consensus can’t work without provenance

Consensus makes it impossible to cheat because it removed trust from all supply chains because we can verify .

Bitcoin Mining incentivizes participants to keep proper records.

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#416

Homework on Consensus - Questions

  1. What does it mean when we say that in blockchain, consensus determine the truth?
    All the nodes hold their own copy of the ledger and they double check together to reach a consensus if a new transaction is valid and can be added.
  2. How is this different from how truth is determined in a central database?
    In a central database all the trust is being put in the one hosting / manipulating it, you can not verify. There is no incentive to play by the rull.
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#417
  1. For every change on the blockchain there needs to be consensus for the given change. If the majority agrees that a transaction is valid it is added to the blockchain. However, if the majority on the network finds it to be a non-valid transaction it is rejected. In theory a non-valid transaction can be added to the blockchain if the majority agrees (51% attack), but that would be counter productive as it compromises the whole network.
  2. In a central database a single entity is responsible for changes in the database. Thus, one will have to trust that the database is not compromised (in stead of verifying it).
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#418
  • What does it mean when we say that in blockchain, consensus determine the truth?

All computer on the blockchain all need to agree on a consensus weather the transaction is authentic and all parties agree before confirming a transaction

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

One central party decides and authorises the transaction

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#419
  1. What does it mean when we say that in blockchain, consensus determine the truth?
    In blockchain all computers in the network must operate in agreement about the stored data. Since each computer must store the exact same data as the other computers in the network, any computer with corrupted data has to be resolved by bringing it back into exact alignment with all the other units in the network. This is known as consensus. The majoriy of computers with the same data will be determined as the true data for the network.
  2. How is this different from how truth is determined in a central database?
    The centralized controller establishes the truth. In a central database what ever is in the system is considered the truth even though the controllers input may be false. There is no cross check or validation of the accuracy of the input data across all the units sending information.
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#420
  1. All the nodes on the network need to agree in order for a transaction to be valid, if there is no agreement, no consensus, the transaction is not valid, it is fals, and it does not happen.
  2. In a central database one authority decides what is valid, the truth.
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#421
  1. It means that not only one person or entity can determine what is the truth. The truth is decided by the whole network of nodes.
  2. A central database is owned by a person or group of persons who can decide to manipulate the data and what is the truth.
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