Homework on Consensus - Questions

Blockchain and Bitcoin 101
#4560

  1. What does it mean when we say that in blockchain, consensus determines the truth?
    –> Because in the blockchain all computers have to agree on the right thing, only then there is consensus between the parties and then it determines the truth

  2. How is this different from how truth is determined in a central database?
    –> Its different because here the parties have a monetary incentive to tell the truth and find consensus between eachother

1 Like
#4561

  1. It means that something is only true if there is consensus amongst the network participants.

  2. In a Central Database the truth is dictated by the controlling entity.

1 Like
#4562
  1. In blockchain, consensus determines the truth because the decentralized network of computers is able to verify the validity of transactions opposed to having a network built on trust. All nodes on the network must be in agreement that the transactions are valid and can be verified.
  2. In a central database there is not always a verification or proof of validity. Therefore it is much easier to provide false information and have the potential to claim that commodities represent something they truly are not.
1 Like
#4563
  1. What does it mean when we say that in blockchain, consensus determine the truth?
  2. The truth is verified by many nodes on the network when a majority is approved they have consensus. So the verification of what is in the blockchain is the verification that it is true.
  3. How is this different from how truth is determined in a central database?
  4. A Central Database can be changed by some or a number of people and with that no-one else may know that the information was changed. Or the central database can go faulty so it loses all information,
1 Like
#4564
  1. What does it mean when we say that in blockchain, consensus determines the truth?

Consensus describes the process of nodes coming to agreement about which blocks to add to the blockchain. Saying that consensus determines truth simply means that the state of the blockchain is determined by the agreement of the nodes.

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

In a centralised system, truth (or the generally accepted state of things), is determined by some central authority.

1 Like
#4565

The network of computers work together to come to an agreement on whether a transaction is true. If one is cheating, the others will have the correct detail which will reject the false transaction. Monetary incentives encourage honesty from the network.

Anyone can put in what they want and there is no way to know whether it is true or not without extensive research and there is a need for trust in the central database. Blockchain there is no need for trust as all transactions will be verified to be true.

1 Like
#4566

1 Network agrees a transaction, transaction gets added to the ledger if its good.
2. By no alterations.

1 Like
#4567
  1. only if all validators agree transaction is authorised, trust is replaced by maths
  2. central authority says yes or no, can be manipulated easily
1 Like
#4568

  1. The blockchain verifies the transaction while asking between the nodes:
    is the actual transaction viable?
    It is a pivotal key to decentralisation creating trust without trust

  2. A central database can be altered and lead to mistrust and false information, which is lead by a single entity

1 Like
#4569
  1. What does it mean when we say that in blockchain, consensus determines the truth?
    The network of computers connected to a particular chain all must agree that a certain piece of submitted information belongs that particular chain. A key element is that consensus is built on incentive and incentive is rewarded. Each in the whole network is incentivized to be honest.
  2. How is this different from how truth is determined in a central database?
    In a central database the controller/ owner of this database can ultimately decided what info is included and what is not included.
1 Like
#4570
  1. What does it mean when we say that in blockchain, consensus determine the truth?
    In blockchain, truth is determined by a network of nodes which independently verify the correctness of any given request to the network. This process of independent analysis allows for incorrect information to be weeded out when the majority can confirm the validity of the information and a consensus is reached.
  2. How is this different from how truth is determined in a central database?
    A centralised database is not run over a decentralised network. Instead, those with admin permissions are responsible for amending database records. Effectively no consensus is reached in this way as no counter-parties are necessarily required to confirm any database amendments.
1 Like
#4571
  1. What does it mean when we say that in blockchain, consensus determine the truth?
  • A simple transaction needs to be verified by multiple ledgers in order for it to be put on the blockchain.
  1. How is this different from how truth is determined in a central database?
  • A central database can be manipulated before releasing to the public.
1 Like
#4572

  1. What does it mean when we say that in blockchain, consensus determine the truth?
    In a distributed ledger, the network of computers (nodes) establish ‘truth’ by independently verifying each transaction submitted to the network. This ensures incorrect information and bad participants in the network are eliminated and only accept a new transaction to the ledger once all nodes can confirm the validity of the transaction and a consensus is reached.

  2. How is this different from how truth is determined in a central database?
    The main difference is that a traditional database is centralised. Therefore any individual or business that has authority can edit or delete information from the database. Ultimately, there is no need for a central database to determine ‘truth’ as it is not necessary.

1 Like
#4573
  1. A decentralized node/servers network validates transactions based on the ledger (blockchain)
  2. Because this decentralization does not exist in a central database and the validation is from a unique node/server.
1 Like
#4574

In a blockchain consensus determines the truth because blockchain is not centralized, a team of people and or computers/nodes confirm all transactions, they come to a common agreement, if in agreeance the transaction is added to the ledger.

In a central database the truth is determined by one source or one person, therefore it is different than a consensus

1 Like
#4575

Homework - Consensus

Benefits of Using Blockchain

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

Consensus is when all systems are in agreement and verified therefore undeniable in regards to the truth.

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

In a central database you need to trust that the truth is actually the truth, where in a decentralized blockchain the truth is verified mathematically through the blockchain network making it trustless.

1 Like
#4576

  1. Consensus is the process blockchain uses to determine truth through having each person or node in the chain constantly sharing transactional data with other nodes around it making it impossible to lie or change date in the database.

  2. In a central database there is no consensus and usually not a log therefore anyone who can access the database can change its data or lie about data since there aren’t other nodes verifying all transactions.

1 Like
#4577

  1. The nodes in the network need to agree if the transactions that occur, are to be put into the blockchain or not.

  2. The truth in the decentralized database cannot be altered or manipulated. In a central database this situation can occur.

1 Like
#4578

  1. Consensus determines truth on the blockchain means that everyone is in agreement, so everyone involved in anything that happens on the blockchain knows that all data input or transferred is correct (true). Truth is incentivized on the blockchain, dishonesty is decentivized.

  2. This is different from how truth is determined in a central database because you are still relying on trust that all data is accurate. Data can still be distorted or manipulated.

1 Like
#4579
  1. What does it mean when we say that in blockchain, consensus determines the truth?
    Consensus means that all parties involved act in an agreed way to achieve the truth. The one who is involved in the process must be recognized as an honest actor. Decentralized decision, using a consensus or an agreement, makes “the decision” honest. Every node has a copy of the ledger where unspent trx is written and these copies in the other honest nodes are there to confirm it. By confiming that the trx is honest and calculated correctly, the nodes can write it the block.
  2. How is this different from how truth is determined in a central database?
    When a decision is made on a network with a central database is made, the truth is determined by 1 entity. This makes it prone to manipulation. To secure a network one must use a consensus where all involved parties are incentivized to work honestly in an agreed protocol, using a decentralized database.
1 Like