SUB CODE/NAME: CCS339 – CRYPTOCURRENCY AND BLOCKCHAIN
TECHNOLOGIES
PART –A
UNIT - I
1. What is a block chain? [CO1, K1]
Blockchain is a decentralized and distributed ledger technology that enables
secure and transparent record-keeping of transactions across a network of
computers.
It ensures trust, decentralization, and data integrity, making it suitable for various
applications beyond cryptocurrencies.
2. What is a distributed ledger? Give Example [CO1, K1]
A distributed ledger is a decentralized database that is spread across multiple
locations or participants in a network.
It allows for the recording, sharing, and synchronization of data across all
participants in a transparent and secure manner.
Each participant in the network has access to an identical copy of the ledger, and
changes to the ledger are independently verified and agreed upon by consensus
among the participants.
e.g One of the most well-known examples of a distributed ledger technology is
block chain.
3. Point out the mechanism which is used to validate and authenticate
transaction
without using central authority. Give examples. [CO1, K1]
Consensus mechanism is a protocol used in blockchain networks to validate and
authenticate transactions without a central authority.
Examples include proof of work (Pow) and proof of stake (Pos).
4. How Blockchain ensures cryptographic security? [CO1, K1]
Blockchain ensures cryptographic security using various cryptographic techniques
such as hash functions, digital signatures, and cryptographic hashing algorithms.
These techniques are applied to ensure the integrity, authenticity, and
confidentiality of transactions recorded on the blockchain.
5. Name any two popular consensus mechanism used in blockchain. [CO1, K1]
PROOF OF POW : In Pow, participants (miners) compete to solve complex
mathematical puzzles to validate transactions and create new blocks. The first
miner to solve the puzzle broadcasts the solution to the network, and other nodes
verify the solution before adding the block to the blockchain.
Proof of stack (POS): In PoS, validators are chosen to create new blocks based on their
stake or ownership of the cryptocurrency. Validators are selected randomly or based on
their stake in the network.
6. write about short comings of current transaction system? [CO1, K1]
Cash is useful only in local transactions and in relatively small amounts.
The time between transaction and settlement can be long.
Fraud, cyber-attacks, and even simple mistakes add to the cost and complexity of
doing business
It expose all participants in the network to risk if a central system, such as a bank,
is compromised.
Many people in the world don’t have access to a bank account and have had to
develop parallel payment systems to conduct transactions
7. Clear about the transparency of the public ledger in Block chain? [CO1, K1]
Transparency: Public ledgers ensure transparency by allowing anyone to view
transaction data recorded on the blockchain.
Unlike traditional financial systems where transaction records are often opaque
and controlled by centralized authorities, blockchain provides a transparent and
auditable ledger of transactions.
8. Mention about a block in a block chain? [CO1, K1]
A "block" in a blockchain refers to a collection of transactions that are bundled
together and added to the blockchain as a single unit.
Each block contains transaction data, a timestamp, and a reference to the previous
block in the chain, forming a chronological and immutable record of transactions.
9. What is a permission model of block chain? [CO1, K1]
The permissioned model of block chain refers to a type of block chain network
where accessing the network is restricted to a predefined group of participants.
Unlike public block chains, where anyone can join the network and participate in
transaction validation and block creation, permissioned block chains are typically
used in enterprise settings where privacy, control, and regulatory compliance are
important considerations.
10. Mention the data structures used in Block Chain? [CO1, K1]
Pointers - variables that keep information about the location of another variable.
Specifically, this is pointing to the position of another variable.
Linked lists - a sequence of blocks where each block has specific data and links to
the following block with the help of a pointer.
11. Draw about a block chain Architecture. [CO1, K1]
12. Draw a block header. [CO1, K1]
13. Write about various components in Block chain header. [CO1, K1]
The head of the block have following components:
the hash of the previous block
the hash of the block
the root hash of the Merkle tree
the nonce (a nonce in blockchain is a random or semi-random number used in the
mining process to find a hash value that meets a specific difficulty criterion and
adds a new block to the blockchain)
14. What Are Cryptographic Hash Functions? [CO1, K1]
A cryptographic hash function is a mathematical function used in cryptography.
Typical hash functions take inputs of variable lengths to return outputs of a fixed
length also known as the "hash value."
Hash functions are used in cryptography and have variable levels of complexity
and difficulty.
Hash functions are used for cryptocurrency, password security, and message
security.
15. Mention some of the cryptographic hash functions. [CO1, K1]
SHA-256 (Secure Hash Algorithm 256-bit): A widely used cryptographic hash function
that produces a 256-bit hash value.
MD5 (Message Digest Algorithm 5): Although it's widely used in legacy systems, MD5 is
considered broken for cryptographic purposes due to vulnerabilities in its design.
SHA-1 (Secure Hash Algorithm 1): Similarly, SHA-1 is deprecated for cryptographic use
due to vulnerabilities, although it's still used in some legacy systems.
16. Define Hash Pointer? [CO1, K1]
A hash pointer is a data structure that consists of two parts: a reference to a data
block and the hash value of that data block.
It is commonly used in blockchain technology and other data structures to create a
secure link between data blocks.
17. Draw a block diagram of a pointer. [CO1, K1]
18. Which component of a pointer is enabling efficient and secure verification of
larger datasets? [CO1, K1]
Merkle trees enable efficient and secure verification of large datasets, as only the
root hash needs to be stored and transmitted, reducing the amount of data needed
for verification.
Additionally, they provide a tamper-evident structure, as any change in the data
will result in a different Merkle root.
19. How does digital signatures used in block chain technology? Give example.
[CO1, K1]
Blockchain uses digital signatures to verify the authenticity and integrity of
transactions.
Each participant in the blockchain network has a public-private key pair. The
sender signs the transaction with their private key, and the recipient can verify the
signature using the sender's public key.
Example: After hashing the transaction details, Alice signs the transaction with
her private key. Bob uses Alice's public key to verify the signature, ensuring that
the transaction was indeed initiated by Alice.
20. Write the Difference between Merkle root and Merkle Tree. [CO1, K4]
The Merkle root is used to efficiently verify the integrity of the entire dataset
by comparing it to a known value stored in the block chain.
Merkle trees enable efficient and secure verification of large datasets, as only the
root hash needs to be stored and transmitted, reducing the amount of data needed
for verification.
PART B
1. Explain about key concepts and Features of the Blockchain. [CO1, K2]
2. What are the key components available in the block of the block chain explain with
diagram? [CO1, K2]
3. Describe about the permission model of the block chain with example and diagram.
[CO1, K2]
4. Brief about Public ledgers. [CO1, K2]
5. What are the key characteristics and properties of the cryptographic hash functions?
[CO1, K2]
6. Explain about cryptographic hash functions with example and diagram. [CO1, K2]
7. Enlighten about Hash Pointer with example. [CO1, K2]
8. Make clear to how does block chain ensure cryptographic security? give example.
[CO1, K2]
9. Elucidate about the Architecture of the Block Chain. [CO1, K2]
10. Explain about popular consensus mechanism used in block chain. [CO1, K2]
![SUB CODE/NAME: CCS339 – CRYPTOCURRENCY AND BLOCKCHAIN
TECHNOLOGIES
PART –A
UNIT - I
1. What is a block chain? [CO1, K1]
Bl](https://screenshots.scribd.com/Scribd/252_100_85/356/721412555/1.jpeg)
![10. Mention the data structures used in Block Chain? [CO1, K1]
Pointers - variables that keep information about the locati](https://screenshots.scribd.com/Scribd/252_100_85/356/721412555/3.jpeg)
![18. Which component of a pointer is enabling efficient and secure verification of
larger datasets? [CO1, K1]
Merkle trees](https://screenshots.scribd.com/Scribd/252_100_85/356/721412555/5.jpeg)
![2. What are the key components available in the block of the block chain explain with
diagram? [CO1, K2]
3. Describe about th](https://screenshots.scribd.com/Scribd/252_100_85/356/721412555/6.jpeg)
