In the blockchain network, each computer has an actual copy of database. Therefore each computer (node) can verify if the information is true or false. This means the consensus have to be made to include the information on the blockchain. Trust is not needed.
In a centralized database data can be manipulated. User have to trust the database authority that data is true.
means that the validators all check at the same time that a given transaction meets the necessary requirements to be included in the chain. And since they are all incentivized to act according to the rules, they will do their job.
Because being a decentralized network many people at the same time can control the same transaction and agree on whether it is valid or not because they are motivated by an incentive. In a centralized database the incentive can be different from doing things correctly and this can lead to falsification of data, abuse of power, corruption, discrimination, etc.
Consensus determines the truth because verified by multiple parties who are incentivised to be honest and not trusting one party.
With a central database you have to rely on trusting 1 central entity that they are telling the truth.
Every computer as Part of the blockchain network Must agree to a transaction. Just when all of them verify a transaction the transaction is made. The consensus reflects the truth on the blockchain.
Truth in a central database is determinier by trust. Not by the verification. A central database can be Seen as one part That verifies a transaction. Ist is obviously better when More than one parts verify a transaction.
Because every computer that have a public ledger have to agree of what is true and what’s not. They have to approve all new transactions together.
Every computer has a copy of the Blockchain, which means that it’s transparent to see what transactions that ever been made. This makes it impossible to fake a transation. With a central database, there is just one single party that can see all the transactions and therefor the only party that makes all the decisions.
Consensus is a process of achieving agreement between distrusting nodes on the final state of data. when multiple nodes are participating in a distributed system and they need to agree on a single value, it becomes quite a challenge to achieve consensus. This process of attaining agreement on a common state or value among multiple nodes therefore usually an economic incentive is provided within the system.
Within a centralised database the “truth” is usually controlled by the owner of the central database and can be amended to suit their definition of the “truth”.
1.Blockchain is decentralized , which means that everyone has freedom and is part of the collective consensus. Consensus is also reached through financial incentives and if everyone is honest they gain money, if not they lose .Basically majority wins in order to gain money.
In blockchain all networks need to agree and verify the transactions.
In a central database you will have to trust the authorities what is truth or not, “truth” can always be altered
2 because its transparent on decentralised public ledger
Consensus allows a large number of computers ran by node holders to compare data nd determine if it is correct which then ends up on the blockchain as a permanent part of the blockchain = truth.
Regular databases can be edited and are created by only a few or one person … I would think of these more like opinion rather than truth in a pure sense because they can be changed depending on how the wind blows.
“truth” is established when all the validators find consensus.
central is equal to a single point of truth establishing. We need trust in that kind of database that they are doing their job right. Whereas blockchain is trustless = each transaction is verifiable.
What does it mean when we say that in blockchain, consensus determines the truth?
It means that in able to make ex a transaction, or add data, all nodes in the blockchain have to verify and agree that “this is true”. Incentives, in form of rewards, or money drives the process.
How is this different from how truth is determined in a central database?
In a central database there is usually some kind of Authority that determines what is true. Meaning all others need to willingly, or unwillingly accept that what the authority says is true.
What does it mean when we say that in blockchain, consensus determines the truth?
Transactions in the blockchain are verified through a network of decentralized computers until consensus is reached that the transaction is valid. This makes it difficult to cheat, because the transactions or supply chain is being independently verified by the network.
How is this different from how truth is determined in a central database?
In a central database, truth is based on our trusting that the information in the database is real and not manipulated. Because this is controlled by a central party, there is no independent verification of the information flowing into the database.
What does it mean when we say that in blockchain, consensus determines the truth?
All nodes in the system are incentivised to tell the truth as doing so will mean they stand to make money. Since we can safely assume the vast majority want to make money, logically it implies any time a consensus is arrived at between nodes,then this consensus represents the true state of a transaction to any external observer. In other words consensus guarantees all transactions written to the blockchain are valid.
How is this different from how truth is determined in a central database?
Although databases are deployed in clusters they do not communicate between one an other with a view to determine the validity of a monetary transaction. A transaction can be modified at any time by any user with the appropriate privileges. For example a double spend could be possible by simply updating a bunch of tables. This is not possible in blockchain based systems because of the consensus algorithms applied.
What does it mean when we say that in blockchain, consensus determines the truth?
Consensus determines the truth because every transaction is validated by another participant in the network, or unverified transactions will be discarded
How is this different from how truth is determined in a central database?
in a centralized database, only one copy of the data exists and it can easily be manipulated.
With no centralized “decider” who could be corrupted by some means, with blockchain consensus, there are no secrets, and on top of that, participants are incentivized to be truthful as doing so is tied directly to their own self interest.
This is a night and day difference from establishing truth in a centralized database. Again, centralized databases are prone to mismanagement, fraud, erroneous errors, and manipulation. This requires hiring third party accounting firms and auditors to verify accuracy, and even then it’s not always guaranteed, so service agreements have to be drawn up to decide who’s responsible for theft or missing information/or funds in finance. All of this costs additional time and money, just to achieve what blockchain does inherently.