Homework on Finality - Questions

Blockchain and Bitcoin 101
#3415

Once the transaction has been completed it is impossible to reverse. It is on the blockchain in perpetuity.

This creates a trustless system by making it impossible duplicate, cancel, or scam an transaction (although can still be scammed by making shady purchases and not actually receiving product e.g. darkweb drugs, etc.)

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#3416

Question #1: What do we mean when we say that blockchain has transaction finality/immutability?

Blockchain cannot be changed because to create it there is work being made, all effort is confirmed via consensus on the network, therefore all transactions are final and total and immutable.

Question #2: How does this lead to the trustless environment that blockchain creates?

One of the examples is the solving of the double spending problem and removes many types of scams that are present today, because all operations on the network have permanent record in the blockchain and have finality to it it now allows anyone to do business with anyone because we have certainty.

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#3417
  1. What do we mean when we say that blockchain has transaction finality/immutability?

Once a transaction is sent, there is no way to reverse it.

  1. How does this lead to the trustless environment that blockchain creates?

every transaction can be checked verified and it canā€™t be reversed from a central authority after the founds have been received.

2 Likes
#3418

Homework on Finality - Questions

  1. What do we mean when we say that blockchain has transaction finality/immutability?

Transactions cannot be erased or undone.

  1. How does this lead to the trustless environment that blockchain creates?

We donā€™t have to trust people in transactions because the trust lies in the blockchain security, accountability, and reliability.

2 Likes
#3419

  1. It isnā€™t possible to change a transaction once it has been completed

  2. Trust is no longer an issue as the system cannot be manipulated

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#3420

  1. Once a transaction has been confirmed on the blockchain, it is there forever, and can not be changed.

  2. There is no dispute over transaction historyā€¦ One can verify a TX by checking the block chain, no need to trust the sender.

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#3421
  1. What do we mean when we say that blockchain has transaction finality/immutability?
    That means that once the money is transfered, there is no turning back or to ask for money back.
  2. How does this lead to the trustless environment that blockchain creates?
    The transaction cant be refunded or duplicated and the customer gets money for exchange of BTC for example, and this customer cant try to duplicate money or get BTCā€™s back.
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#3422

1.) blockchain has transaction finality in that once a transaction is placed on the blockchain in cannot be reversed and it is final, unlike the traditional financial system.

2.) blockchain eliminates trust because you know the information placed in the block is final and cannot be tampered with. You can transact with strangers freely because you are Instead trusting the mathematics behind the blockchain.

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#3423
  1. The can not be reversed.Transactions are final.
  2. We trust the network. We verify transactions mathematically. Therefore we donā€™t need to trust who we are transacting with.
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#3424

  1. What do we mean when we say that blockchain has transaction finality/immutability?
    It means that once a transaction is commited it is not possible to cancel it.

  2. How does this lead to the trustless environment that blockchain creates?
    The trustless environment that blockchain creates is based on math rather than any third party. Once a transaction is confirmed and recorded in a block it stays in the block.

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#3425
  1. Once you click send, thereā€™s no going back or changing it.
  2. Blockchain is trustless because anyone can verify anything.
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#3426
  1. What do we mean when we say that blockchain has transaction finality/immutability?
    When a transaction has happened it is impossible to reverse it. Itā€™s on the blockchain and cannot be changed.
  2. How does this lead to the trustless environment that blockchain creates?
    All transactions are irreversible and are saved in the blockchain. Itā€™s all based on math and not on people.
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#3427
  1. You cannot cancel after payment is done.
  2. There is no possibility to for example call to the bank and ask money back or do other kind of frauds. This has been problem in normal banking sector with real estate.
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#3428

Homework on Finality

  1. What do we mean when we say that blockchain has transaction finality/immutability?
    It means that once a transaction has made, there is no possibility to reverse it.

  2. How does this lead to the trustless environment that blockchain creates?
    This can lead to trustless environment because for example if you buy something and you get scammed there is no option to receive your funds back. It is not like when you pay with credit card and you can ask your bank to reverse the transaction. Anyway also this lead to the opposite problem that seller get scammed.
    So we can say that the the blockchain technology has its own use cases and should not be used where reverse a transaction is an important feature unless there is some mechanism that deal with this issue.

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#3429

1.- Once the transaction has been done it can not be taken back.
2.- You can trust that the transaction will go though

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#3430

  1. The transaction canā€™t be reverse or cancel, if itā€™s confirmed.

  2. You donā€™t need to trust anybody, you trust the network and every transaction can be verify from everyone.

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#3431
  1. The transactions cannot be changed or erased.
  2. Through verification.
2 Likes
#3432

On the blockchain, transactions canā€™t be reversed. Anything that happened once recorded cannot be taken back. This is known as immutability, which does away with the for trust in a transaction as it makes it impossible to cheat. Therefore we can say the blockchain is trustless.

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#3433

1: Finality removes a lot of trust (trustless environment) because transactions are final and thereā€™s no way to go back and change something. If you did it, itā€™s your fault and you didnā€™t do your due-diligence to double check.

2: Instead of putting oneā€™s trust in others (strangers), we can put trust in the code, thus creating a trustless environment making such transactions possible.

2 Likes
#3434

Once a transaction is completed, it is not subject to a chargeback. It is final. It is not subject to reversal and the ledger is updated and immutable.

  1. This finality allows strangers to trust the system because of math and physics. The counterparties do not need to trust each other.
3 Likes