Homework on Consensus - Questions

Blockchain and Bitcoin 101
#4681

  1. What does it mean when we say that in blockchain, consensus determines the truth?
    The Consensus is the system where every new transaction needs to be verified by all of the nodes of the blockchain, through the incentives that are given to them, and have it checked against them. The whole process eliminates any fault making it a unique source of truth.

  2. How is this different from how truth is determined in a central database?
    I think the answer is that the verification method is only one and if the transaction passes the record exists even though it could be digitally copied or have other faulty parameters.

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#4682

#1 Many different people are able to verify the content placed on the Blockchain.
#2 Truth in a central database is determined by who owns it.

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#4683

  1. What does it mean when we say that in blockchain, consensus determine the truth?
    The truth which achieves consensus is written to the blockchain. As such, consensus determines the truth both in the sense that it (hopefully) correctly identifies what is true, as well as in the sense that it determines what will be considered true.

  2. How is this different from how truth is determined in a central database?
    The answer to question 1 equally applies to a central database. However, the second point above is particularly problematic, due to the fact that ā€œconsensusā€ for entries into a centralised database may only be required among a small number of entities, or not required at all if a single entity controls the ledger. This small number of individuals, or potentially single individual, will decide what is to be considered true nonetheless.

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#4684

  1. In the blockchain, the network determines if something has been verified. In other words, the whole community, mathematically determines if something is truth or false.

  2. In a central database, the key holders determine if something is truth or false. There isnā€™t a network verifying if someone is lying or cheating.

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#4685

In blockchain there consists a network of computers. ALL of these must agree on whether to allow a transaction to take place or not per a set of agreed upon factors, an enormous network of checks and balances

In a central database, truth is determined by that one databaseā€™s rules as agreed upon by whoever set them up. It is much easier to compromise the integrity of such a system.

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#4686

  1. What does it mean when we say that in blockchain, consensus determines the truth?
    Consensus determines the truth in blockchain because independent actors in the network decide whether to accept a transaction only if it is verified as being legitimate and agreed upon by the whole network. One bad actor cannot accept or change a transaction on the blockchain. Therefore consensus creates trustlessness.

  2. How is this different from how truth is determined in a central database?
    Parametres are set by the centralised builder of a database and anyone with access can enter what they wish within those parameters. Later, the data or the parameters can be altered by an individual or an organisation without independent verification. Trust is required for the data to be useful.

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#4687
  1. When information is submitted to the blockchain, it is necessary for the distributed operators of the blockchain to evaluate and agree on the information before it is permanently incorporated into the blockchain.
  2. Traditional centralized databases have been designed to be managed by a limited amount of users without the need for any consensus mechanism across different parties. Thus, the main disadvantage is too much trust.
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#4688

  1. What does it mean when we say that in blockchain, consensus determines the truth?
    A network of computers needs to agree on whatā€™s true and verify if a transaction makes sense. If all the nodes agree, then it goes through. Being truthful is incentivised.

  2. How is this different from how truth is determined in a central database?
    In a central database, the ones in control can determine whatā€™s true or false. This can be a central authority or a small number of stakeholders.
    Trustlessness=Consensus=provenance.

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#4689
  1. Validation of data requires agreement by the majority of nodes, with financial incentives aligned to the truth, with no central control or authority
  2. central databases are under a central control, which may be financially incentivised to not tell the truth
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#4690
  1. What does it mean when we say that in blockchain, consensus determines the truth?

Because when we achieve consensus, we eliminate the need for truth. With consensus we verify so we donā€™t need trust, the trust is automatic achieved when consensus is achieved.

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

Because in a central database you must trust on a single entity and if that entity is not trustless you will never kwon if the database is correct. For achieve consensus you need a decentralized network where everyone works to achieve that consensus and because you need financial incentives so that can work you are sure that the database is correct, because everyone works for that same goal, to make money and if they try to cheat the network, they lose money.

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#4691
  1. What does it mean when we say that in blockchain, consensus determine the truth?
    The consensus (done by many computers) decides if the the new transaction is real.
  2. How is this different from how truth is determined in a central database?
    In a central database the truth can be changed because it is only verified by one person that could be lying and not being truthful.
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#4692
  1. What does it mean when we say that in blockchain, consensus determines the truth?
    Verification must be approved by other computers (nodes) in the blockchain. Each one approves the truth.
  2. How is this different from how truth is determined in a central database?
    In central manner, there is third party/person who approve/verify something. The approval can be false. To much trust is involved.
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#4693

  1. What does it mean when we say that in blockchain, consensus determines the truth? Consensus determines the truth because various computers with the ledger approve or deny the transactions in the blockchain

  2. How is this different from how truth is determined in a central database? In a central database you must trust what a business says. You are not able to verify the information provided.

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#4694
  1. What does it mean when we say that in blockchain, consensus determine the truth?

It means that the truth is decided and agreed on collectively by the people/network on the blockchain.

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

In a central database thereā€™s a central authority that decides the truth. So there is a risk that the data can be manipulated.

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#4695

  1. consensus is achieved through the network agreeing on details of transactions, each new transaction has to follow set rules, link from the previous and match up, making it hard to falsify, and without central control truth is incentivised by cooperation and rewards

  2. in a central database the transactions cannot be verified by a wider network, therefore relying on trusting the central control (the company or corporation), who could manipulate data so the truth is not as easy to determine.

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#4696

  1. Blockchain determines the what the truth is through all of the nodes reaching a consensus. If one has wrong information that does not line up with the other serverā€™s information it will be discarded.

  2. Central databases only have one place where data is stored, and if that is contaminated there is no automatic system to throw out inconsistent data. This probably makes central databases easier to hack and manipulate.

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#4697

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

A collective group of miners need to confirm the transaction and agree, it is being done real-time and if a transaction does not fit with the ledger, it is rejected

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

Only one authority in a central database that determines the truth, it is not a consensus of interconnected parties.

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#4698

1- means that information is verified across different computers
2- no one can alter the information

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#4699
  1. What does it mean when we say that in blockchain, consensus determines the truth?
    Consensus its determined by incentivased and independent computers that the way the system its made it makes them follow the rules to achieve the truth
  2. How is this different from how truth is determined in a central database?
    In a central database the truth comes from the interest of the same people that manage the data and can be modified.
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#4700

  1. What does it mean when we say that in blockchain, consensus determines the truth?
    Consensus determines the truth because in order for a transaction to be verified, the majority (51%) of computers utilized in the network (nodes) must all agree that the transaction is valid.

  2. How is this different from how truth is determined in a central database?
    In a central database, the main authority has the last say of what is true or not.

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