Homework on Consensus - Questions

Blockchain and Bitcoin 101
#121
  1. When there is consensus, it means it is trustless. All the different parties has approved the transaction and therefore there is consensu, ie the truth.
  2. Blockchain is decentralised which means there has to be consensus in order to make a transaction. The database is not controlled by one centralised authority that determines the “truth”.
1 Like
#122

In a decentralized network, like a blockchain network, truth is often established via a consensus mechanism. Typically, this means that information in a block on the blockchain has been seen by many different parties and all of them agree that their copy of the information is the same as everyone-else’s. That is, the information is true.
In a central database, there is one master copy of the information and it is only accessible via a single entity or keeper of the information. Truth is determined via trusting this entity to tell you what the information is,

1 Like
#123

  1. Consensus determines the truth by verifying transactions in the network.

  2. Central databases are a single point of failure and require trusting a single authority to be honest.

1 Like
#124

1Consenus means in the blockchain that all the various parts agree on what the truth is.2 The truth can change in a regular database…

1 Like
#125

  1. All participating nodes within a decentralized network have an agreement on whether or not a transaction/decision has occurred, that agreement reflects reality.

  2. A centralized database has only itself to reference to confirm a transaction. A decentralized network has multiple parties available to confirm an event.

1 Like
#126

1. What does it mean when we say that in blockchain, consensus determine the truth?
In this decentralized system, the majority of nodes determine what is a valid transaction through incentives.

2. How is this different from how truth is determined in a central database?
In a central mechanism, truth is determined by the central authority controlling the database.

1 Like
#127

1, All nodes on the network has to agree and accept all transactions. Nobody, out of self interest can influence the content of a block.

2, You basically just have to take the authorities word for it!!!

1 Like
#128

1- it means that the nodes collectively agree on the truth and when they do the truth is determined.

2- in a central database the author is the one who determine the truth which means that the database is first prone to human error, and second it can be manipulated edited etc… by the author. but in a decentralized database the truth is determined collectively by the nodes in other words the people. and they are also incentivized to tell the truth because they will get paid to, and they will actually loose money if they don’t play by the rules and try to lie or manipulate the data.

#129
  1. Consensus determine the truth in blockchain because of decentralization and trustlessness so no single entity can just lie to the network without the others verifying the truth.
  2. In a centralized database, you have to trust the central authority in control of the database to tell the truth, even when you’re not sure they’re telling the truth. But because of consensus, all the nodes in the network will verify and agree without trusting each other.
1 Like
#130

  1. What does it mean when we say that in blockchain, consensus determine the truth?
    Multiple parties are required to agree on the version of data that is stored on the blockchain. If sufficient parties cannot reach consensus then the data is regarded as false and discarded.

  2. How is this different from how truth is determined in a central database?
    You rely on a central authority to determine what the truth is. You have to trust that authority.

1 Like
#131

  1. It means that through the network and math it can determine if a transaction is what it says it is, and uses a financial reward system to incentify the transaction.

  2. Many people used to confirm via the network unlike a database.

1 Like
#132

  1. Consensus is reached in blockchain by coming to an agreement true a network of computers. For example an agreement about a financial transaction or verifying some components in a supply chain. This happens true incentives. This means everybody will play by the rules. Because we all want to make money. Dishonesty in this is designed to be punished by losing money.

  2. In a central database you got a single company, individual or entity that determines the truth. Because they only have the database. And you need to trust them that they play by the rules. This means that there is actually no consensus. Because you need multiple party’s on a decentralised database to have consensus. And without consensus you can’t get rid of trustlessness.

1 Like
#133

1 The nodes on the network are decentralized and can see each other
2 A central database cannot have incentives that keep the ledger truthful

1 Like
#134

  1. The nodes have to verify that a transaction is legitimate. When most of the nodes agree, consensus is achieved. Only then is a transaction valid and will be added to the next block. Otherwise a transaction will be rejected.

  2. When relying on a central database, the operator can choose whether to tell the truth. Thus, there everyone else has to trust the other party. In case of a supply chain, or network, every supplier can make claims about its product and submit that data to the next party. Other suppliers, however, can disagree with that claim. In case of a disagreement, only an audit can determine which parties are telling the truth.
    With a blockchain, node operators (supply network participants) are incentivized (with money) to tell the truth and, thus, achieve consesus with the rest of the network. This incentive based model enables a trustless supply chain.

1 Like
#135
  1. When enough nodes verify and agree, it is determined that the transaction is legitimate.
  2. In a central database, truth is assumed to be whatever data is currently present.
1 Like
#136

1.When all computers in the blockchain agree upon a fact means its true.
2 There is no incentive to say the truth necesarily. Central databases ar controlled by a single entity or person who decides whatever is more ¨COnvenient¨.

1 Like
#137

  1. the truth is found as the search for false is weeded out. Together and agreement is made as to wether a transaction is true or false.

  2. in a centralized database the truth can be misleading and incapable of being verified without centralized oversight. And even then the truth can be hidden or misdirected, unlike open verification through the blockchain.

1 Like
#138

  1. It means everybody in the public ledger will check and confirm if the transaction makes sense. And as every one is incentivized by confirming the truth there will be no chance to for false transactions.

  2. Its trust less !

#139
  1. What does it mean when we say that in Blockchain, consensus determine the truth?

The network will agree that a transaction is valid, not one entity.

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

A central data base is owned by one entity and can be changed and manipulated.

1 Like
#140

  1. all nodes verify each transaction across the network.
    consensus of information among participants in a network achieved in a decentralized trust less way.

  2. Traditional methods require a single authority have control of all information.

1 Like