Homework on Provenance - Questions

Blockchain and Bitcoin 101
#1701

Ad 1)
By registering the same transactions immutably on many computers (decentralized) in the blockchain, so that one can be certain the information is correct.
Ad 2)
A normal database is centralized and can be changed (is mutable). Data can also be erased in an normal database.
Ad 3)
Because it makes transactions verifiable and independent of any party and it gives a dependable insight into the transactions from beginning to the end.

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#1702

Excellent answer Miss! really well documented! keep it like that please! :muscle:

Carlos Z.

#1703

  1. By allowing you to verify the presence of the transaction in a public database

  2. Because conventional database can be easily modified.

  3. Because by offering the chance to verify their work, they will get much more trust.

#1704
  1. How does blockchain enable digital provenance?

Providence is a feature that blockchain (data system) can provide allowing for products and materials in the supply chain to be traceable from origin through every stage and level of the supply chain. It allows for transparency. Data is securely stored, inherently auditable, unchangeable (immutable) and open

  1. Why doesn’t a normal database bring the same provenance?
    A normal database is not decentralised and can be manipulated as data entries and features can be changed by bad actors making it less secure and not trustless and has level of opaqueness.

  2. Why is digital provenance such a great benefit to many businesses?
    The greatest benefit is that it it allows businesses to do verification and removes trust. It is very efficient and allows for real-time auditing combining the transactional and accounting layers.

#1705

1) How does blockchain enable digital provenance?
Blockchain enables digital provenance by recording every transaction to its Origin. On the blockchain the transactions are immutable and you are able to audit them.

*** Why doesn’t a normal database bring the same provenance?**
A normal database falls short because it is updated by humans. It is subject to mistakes when one person does not share all the updated information with the other.

*** Why is digital provenance such a great benefit to many businesses?**
To have a system where you can prove with no question the Origin and each transaction can be audited. This is an extremely valuable system for any corporation. It is complete and real time transparency.

#1706
  1. How does blockchain enable digital provenance?
  • All the transaction is public in the Blockchain, and could be traceable not be removed.
  1. Why doesn’t a normal database bring the same provenance?
  • Normal database is centralized or owned by some entity which is possible to add, change, remove the transaction without verification process.
  1. Why is digital provenance such a great benefit to many businesses?
  • Digital provenance is more efficient and leads to the cost reduction due to the transaction with provenance information with trustless process.
#1707

  1. Blockchain is a public ledger providing provenance by eliminating the need for centralized control and providing transparency throughout the entire system via real time auditing.

  2. Normal databases do not provide the same provenance because not every part provides the same information or transparency creating a trust based, time delayed system.

  3. Digital provenance is a great benefit because it eliminates a lot of guess work and approximations due to incomplete databases through the traditional system.

#1708

Someone initiates a process by generating a data set (block) which is then verified and stored by thousands or even millions of computers on the network. The verified block is cryptographically encrypted and attached to a chain of data records (blockchain), resulting in a large number of individual data records, each with its own traceable history.

Traditional databases use a client-server network architecture. Here a user (also called a client) can change data stored on a central server. Control of the database remains with a designated institution (or administrator), which authenticates a client’s credentials before allowing access to the database. Since this institution is responsible for managing the database, if the security of the institution is compromised, the data can be modified or even deleted.

Blockchains allow different parties that do not trust each other to exchange information without the need for a central administrator
Every user can be sure that the data he retrieves has remained unaltered since the time of recording (intimacy). In addition, every user can see how the block chain has been supplemented over time by appending additional blocks.
If a process is mapped in the form of a block chain, it is extremely efficient, saving time and costs for personnel and intermediaries.

#1709

Great answers Justin. Keep up the great work. :smiley:

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#1710

Transaction can’t be visible if they are encrypted. Transactions would need to be hashed in order for us to verify the integrity of them, while still being able to see them publicly. This helps us achieve provenance on the blockchain.

#1711

All of those attributes are very important for the blockchain to have provenance. Great job. :smiley:

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#1712
  1. Blockchain enables digital provenance via its capability to provide real time accountability of transactions by its users without relying on 3rd parties.
  2. Normal database is based on a trust system between different actors encountering a lack of transparency. On the other hand the blockchain replaces this trust system with a real time verifiability enabling a full transparency at all levels of the chain.
  3. Digital provenance is of a great benefit to many businesses since it allows a real time auditing, transparency and accountability on all levels of the supply chain.
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#1713

It seems that trustless is a bit of a tricky word. I think your answer is okay. I am sure you already understood that humans can’t be trusted when it comes to a normal database. :slight_smile:

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#1714

Thanks Mauro for the positive replies :+1:

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#1715
  1. It allows for all items to be tracked and verified. The details of the transaction are not included.
  2. A normal database is not publicly available and does not have the math to verify.
  3. It will eliminate the need for accountants and auditors. Product ingredients and other inputs will be on the blockchain for customers to see. Businesses and customers don’t have to trust. They can just verify.
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#1716
  1. Transactions are stored on the blockchain and can not be tampered with or removed. The blockchain verifies all transactions and creates a trustless system.

2)The database is not open sources and transactions can be modified or deleted.

3)All transactions once completed are permanent and can be viewed on the public ledger… This creates a trustless system which allows my business to be more efficient and less liable to errors in miss-information.

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#1717

Hi Mauro,

Thanks for connecting. The Article at the end of this section lists "Encryption as part of the Blockchain security. Take a look in section 2.:

2. Enhanced security

There are several ways blockchain is more secure than other record-keeping systems. Transactions must be agreed upon before they are recorded. After a transaction is approved, it is encrypted and linked to the previous transaction. This, along with the fact that information is stored across a network of computers instead of on a single server, makes it very difficult for hackers to compromise the transaction data. In any industry where protecting sensitive data is crucial — financial services, government, healthcare — blockchain has an opportunity to really change how critical information is shared by helping to prevent fraud and unauthorized activity.

Are they wrong?

Cryptography is a huge part of cryptocurrencies. Wikipedia says : “…cryptography referred almost exclusively to encryption …”

So, my interpretation is that the transactions, although visible, are still under a form of encryption like the “Private” and “Public” Keys in a cryptocurrency wallet. Although visible and Hashible, still anonymous in so far as our Personally Identifiable Information (PII). I wouldn’t be able too tell the key is yours, unless we were transacting together, but the network and the public ledger can still verify the information to determine authenticity and if verified, come to consensus.

Other considerations vary for Private ledgers with their own level of security permissions.

I think we’ll see the information unfold as the course progresses.

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#1718

Never mind…I understand your point. Thanks for the clarification.

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#1719

  1. How does blockchain enable digital provenance?
    Blockchain is a add only database. meaning information can only be added, not deleted from the database. This provides a complete record of every transaction recorded since the beginning of the database. In addition the decentralized nature of a blockchain adds a additional layer of protection against forceful tempering with the records since every existing copy of the blockchain would have to be altered or destroyed in order to alter or hide the original record.

  2. Why doesn’t a normal database bring the same provenance?
    The centralized nature of the average database makes it prone to tampering since there aren’t multiple copies to check the database against in case of suspected falsification. Data stored in a single location is also vulnerable to technical errors that might permanently destroy or damage parts or all of the stored data.

  3. Why is digital provenance such a great benefit to many businesses?
    Digital provenance ensures fast access to a complete and verifiable ledger of every single transaction ever conducted without the need of a human auditor and extensive storage of receipts or similar documentations. Saving both on storage and labor costs and insuring verifiable accurate records in case of disputes or external audit requests

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#1720

  1. By recording every transaction.

  2. Because there’s no transaction history (ledger).

  3. No trust, verify. You no longer have to trust that people are doing what they are saying since there is proof of what they’ve done.

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