Homework on Finality - Questions

Blockchain and Bitcoin 101
#5118

1- It means that it is not possible to tamper with past transactions on the blockchain thanks to the Proof of Work protocol.

2- IF we have a secure network with finality, it is not possible to double spend money on it. Therefore, two parties don’t need to trust each other to interact, they just need to trust the protocol.

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#5119
  1. What do we mean when we say that blockchain has transaction finality/immutability?

Once a tx is added to a block and confirmed it is infeasible to be reversed in the same way you could call your bank to reverse a tx from an online retailer. Once something is added to a block and confirmed it’s permanent.

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

You don’t have to trust a retailer or an individual because once the tx is confirmed it cannot be undone. There’s little risk of “chargeback”, especially in a robust blockchain like BTC that makes something like double spend or 51% attacks so expensive as to be practically impossible.

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#5120

  1. the transaction has finality means that it cannot be reversed.

  2. immutable nature of ledger ensures no manipulation of transactions meaning more trust.

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#5121

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

We mean that once a transaction is added on a blockchain, it cannot be removed for all intents and purposes.

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

It makes doing business with anyone easier because the finality and verifiability of transactions across the blockchain network removes the need to trust any third party, customer, or business.

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#5122

  1. Transactions cannot be changed or erased. For example, once you send bitcoin to an address you cannot conduct a chargeback or alter the transaction. It is final and/or immutable.

  2. There is no middleman/company/gov to have to “trust” that the transaction occurred. The transaction is verified and becomes part of the chain, and can then be verified (instead of trusted).

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#5123

  1. What do we mean when we say that blockchain has transaction finality/immutability?
    It means that once transaction is sent there no way how to get it back

  2. How does this lead to the trustless environment that blockchain creates?
    Because you can do business with strangers so it removes a trust between two parties !

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#5124
  1. What do we mean when we say that blockchain has transaction finality/immutability?
    We can NOT reverse any transaction once its been confirmed .
  2. How does this lead to the trustless environment that blockchain creates?
    When you send some BTC or any other crypto currency you can not reverse the transaction like in the traditional markets. You can not undo your mistakes. There is good and bad in that but that is how BTC remains Trustless.
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#5125
  1. What do we mean when we say that blockchain has transaction finality/immutability?
  • When a bundle of transactions are included in a block and the block is confirmed by the network, it is immutably part of the network history on the nodes. There is thus noway of reversing this, since it would require an attack on the entire network.
  1. How does this lead to the trustless environment that blockchain creates?
  • There is no trust in a third party (fx. bank), which can reverse a transaction if they deem it appropriate.
  • One only need to understand that blockchain is based on math and physics, so the only ‘trust’ one need is to place it in the design of the system.
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#5126
  1. Finality casts the writing in stone. It cannot be undone by the writer.
  2. It provides for a transparent system where trust is in system and not humans.
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#5127
  1. Once a transaction is added to the blockchain, it cannot be edited, removed, or reversed. It will forever be recorded on the blockchain
  2. Because of this Finality, trust is no longer required as once a payment is made, it’s final, making chargebacks impossible.
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#5128

  1. Finality/immutability means that once a transaction is recorded in the blockchain, it is final and can not be reversed. Immutability means that it is immune to change because information can not be removed from a block.

  2. 2 individuals participating in a transaction do not have to trust each other because the transaction can not be reversed by, for example, claiming that the transaction was fraudulent and having the bank reverse it.

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#5129

  1. What do we mean when we say that blockchain has finality/immutability?
    Once the transaction is complete/conformed, you are powerless to modify, change or backtrack your commitment, it’s finality.

  2. How does this lead to trust-less environment that blockchain creates?
    Because once the transaction is verified, it cannot be reversed, changed, cancelled or manipulated.

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#5130

If a transaction is confirmed on a blockchain then it’s final/immutable so you can’t take back. Customers cannot scam merchants by calling their bank demanding their money back. That’s how a blockchain creates a trustless environment.

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#5131
  1. What do we mean when we say that blockchain has transaction finality/immutability? Once a transaction is verified it is final and can’t be reversed.
  2. How does this lead to the trustless environment that blockchain creates?
    Any user with a bitcoin wallet address can send and receive money this removes third party involvement making every verified transaction final.
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#5132

  1. It means that every transaction is final, there are no charge backs or anything like that. Once a transaction happens, it happens and there is no way of reversing it on the blockchain, as it is physically impossible to do so, the energy needed to code that transaction has been exerted and it is now on the blockchain.

  2. This leads to a trustless environment because strangers do not need to trust one another when making a transaction, they only have to trust the network, which has no bias or nefarious motives.

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#5133
  1. When say that blockchain has transaction finality/immutability because in every transaction on the database, there is no reversed or modified.
  2. Yes, it is a trustless environment, there is no need for trust on any individuals. Network is verified itself.
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#5134

  • What do we mean when we say that blockchain has transaction finality/immutability?
    when a transaction is made there is no possible way of reversing it is final.

  • How does this lead to the trustless environment that blockchain creates?
    Its that simple when it is sent it is sent you cant call bitcoin and be like i made a mistake.

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#5135

  1. What do we mean when we say that blockchain has transaction finality/immutability?
    Once done, transactions are irreversible

  2. How does this lead to the trustless environment that blockchain creates?
    There are no chargebacks in place to use as a tool to scam others.

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#5136

when a transaction is made on the blockchain, it is final
it’s trustless because you can’t scam people or get it back

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#5137
  1. It means a transaction cannot be pulled back. Once it is finalized it is written for ever on the blockchain, no more trust is needed.
  2. The finalization grants inmutability in the system.
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