Homework on Finality - Questions

Blockchain and Bitcoin 101
#1850

1 transaction cannot be reversed.

2 Depending on your use case, blockchain might be the solution for you if you want to do business with strangers and don’t allow chargebacks.

1 Like
#1851

  • What do we mean when we say that blockchain has transaction finality/immutability?
    Once the transaction happens, there is no way to reverse it.

  • How does this lead to the trustless environment that blockchain create.
    You don’t have to trust a party to the transaction. Trustless because you can verify the transaction with mathematics and automatically.

1 Like
#1852

1.- Transaction can no be reverse. If somebody send bitcoin to an incorrect address or wrong amount there is not central entity that will reverse that transaction.
2.- Enable to do business with strangers, since transactions are trustless, but verifiable in the blockchain.

1 Like
#1853
  1. What do we mean when we say that blockchain has transaction finality/immutability?
    The finality and immutability of each and every transaction on the blockchain means that once a transaction has been made and fully confirmed it is irreversible.This makes the state of the blockchain cannot be changed or modified once it has been added to in any way.
  2. How does this lead to the trustless environment that blockchain creates?
    It makes it so there is no physical way to scam, cheat or modify in any way a transaction of any kind. Once a transaction has been made on the blockchain an individual on either end of the giving or receiving of value only needs to trust in the decentralized network which is constantly running due to the incentive of all participants doing so.
1 Like
#1854

Homework on Finality - Questions

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

Finality means to remove trust and no way to reverse transactions, it’s finale and on block chain forever locked and encrypted!
As today with “fiat network”, a customer can call there bank and to reverse an transaction on fraud prevention’s and my get a charge back on a done transaction, not that this transaction is reversible on this is the inverse opposite of blockchain as it’s finale

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

No trust involved business with strangers is not a problem, we trust the network protocol verified mathematics impossible to reverse transactions. The security and mathematics are produced by miner, procures secured blocks and use electricity as prof of work.

1 Like
#1855

Meaning of blockchain finality is, once a transaction is made it is permanent and cannot be removed
This leads to the trustless environment that blockchain creates as a transaction can be verified and is permanent.

1 Like
#1856

It means that once transactions are made there is no way to reverse them or modify them.
This leads to a trustless environment because there s no need of third parties, transactions can t be reversed or modified

1 Like
#1857

Transaction in bitcoin are not encrypted. They are hashed. :slight_smile:

Great example. :raised_hands:

3 Likes
#1858

Hi Mauro, thanks for your comment can you tell whats the difference is between hash and encryption?

1 Like
#1859

[quote=“ivan, post:1, topic:8424, full:true”]
Homework on Finality - Questions

  1. What do we mean when we say that blockchain has transaction finality/immutability? it means the date put on the blockchain can’t be reversed.
  2. How does this lead to the trustless environment that blockchain creates? it leads to a trustless environment because you can do transaction with entities you don’t know.
1 Like
#1860
  1. Transactions are final. They can’t be taken back or reversed. Listed on the blockchain forever.
  2. Because of the finality of transactions on the blockchain, one can do transactions with strangers without fear of being scammed.
1 Like
#1861

1,it means that when you make a transaction you cant get a refund , once you have made a transaction it will be on the blockchain forever.

  1. you can do business with strangers without trust . you dont need to worry that you will get sammed because everybody can comfirm every transaction
1 Like
#1862

Finality

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

Once a transaction is complete/verified on the blockchain it is unable to be changed or reversed. A transaction is unreversible and is completed as final on the public ledger if appropriate variables are met.

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

Proof of commerce payments are are traceable as transactions completed on the blockchain. Through math not human management/decision making, finality of transactions are autonomously completed through consensus.

1 Like
#1863

  1. Finality/immutability means that once a transaction is made, it cannot be reversed.

  2. It means that two parties in a financial transaction cannot take advantage of the other’s trust by going to a third party to edit or reverse the transaction. In contrast to bitcoin, credit card payments, for example, do not have the same level of finality. This is why credit card fraud is such a huge problem, especially in the developing world, because it makes it very easy for customers to claim that a certain product or service they paid for was never delivered, and then ask for a charge back.

1 Like
#1864

  1. Once the network verifies and adds a transaction to the blockchain it cannot be removed.

  2. No one can cheat the system when a consensus has to agree and verify.

1 Like
#1865

1: Irreversible. Final. cant be undone or charged back.
2: verifiable with math. No need for trust anymore.

1 Like
#1866
  1. Once a transaction occurs on the blockchain they are final and cannot be reversed
  2. When the math underpinning the system that verifies the transaction is trusted this leads to a trustless environment
1 Like
#1867
  1. What do we mean when we say that blockchain has transaction finality/immutability?
    Blockchain transactions having finality or immutability means that once a transaction happens, it happens. These transactions can’t be reversed. It also means that the network removes trust, transactions are final, and there are never any charge backs.
  2. How does this lead to the trustless environment that blockchain creates?
    Finality leads to trustless environments because you are trusting the network and not another person. It allows you to do business with anyone around the world because everything is verified mathematically.
1 Like
#1868

  1. Finality means that once a transaction is confirmed by the network protocols, it can never be undone.

  2. A trustless environment is created because one does not have to trust the other party involved, just the confirmed math protocols which cannot be undone.

1 Like
#1869
  1. What do we mean when we say that blockchain has transaction finality/immutability?

Finality means that once a TX has been confirmed on the blockchain is cannot be reversed. It cannot be edited or removed.

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

As trust is put in the protocol and not participants, business can be done with strangers. As TX are irreversible there is no way for TX to be corrupted leading to a trustless environment.

1 Like