What is the first step in the transaction lifecycle on a blockchain?

Transaction creation and signing by the sender

What is the primary purpose of cryptographic hashing in a blockchain?

To ensure data integrity by detecting any change to the data

To compress transaction data to save storage space

To encrypt transaction data so only authorized parties can read it

To generate private keys for users

A blockchain startup is designing a system to store legal documents. They want to ensure that documents cannot be altered without detection, but they also want to keep the actual document content off-chain for privacy. Which approach best meets both requirements?

Store the document in a centralized database and rely on access controls.

Store the document on-chain in plaintext and rely on the blockchain's immutability.

Store a cryptographic hash of each document on-chain and keep the document in a private off-chain storage system.

Store the full document on-chain in an encrypted form.

A company is deploying a smart contract to manage insurance claims. They are concerned about the risk of a vulnerability being exploited. They want to minimize the impact of a bug while maintaining the benefits of blockchain. Which approach is most appropriate?

Use a proxy contract pattern that allows the logic to be upgraded while preserving the state.

Store the contract code off-chain and update it as needed.

Deploy the contract and never change it, accepting the risk.

Use a multi-signature wallet to control the contract.

A non-profit organization wants to create a transparent donation tracking system. They want donors to be able to verify that their donations were used as intended. Which feature of DLT is most important for this use case?

The organization uses a private database that is audited annually.

Each donor receives a receipt that is stored on their personal device.

Transactions are encrypted and only visible to the organization's board.

All transactions are recorded on a shared ledger that is replicated across multiple nodes and visible to participants.

EC-CouncilBlockchain Business Leader Certification

Domain 1Objective 2

Blockchain Architecture and Its Core Components BBLC Practice Questions (Page 3)

Part of the Blockchain Fundamentals for Business domain, which makes up ~11% of our current practice bank.

52questions here

11free pages

10concepts

Questions 11–15

11foundation · easy
What is the first step in the transaction lifecycle on a blockchain?
Select an answer first
12foundation · easy
What is the primary purpose of cryptographic hashing in a blockchain?
Select an answer first
13expert · hard
A blockchain startup is designing a system to store legal documents. They want to ensure that documents cannot be altered without detection, but they also want to keep the actual document content off-chain for privacy. Which approach best meets both requirements?
Select an answer first
14expert · hard
A company is deploying a smart contract to manage insurance claims. They are concerned about the risk of a vulnerability being exploited. They want to minimize the impact of a bug while maintaining the benefits of blockchain. Which approach is most appropriate?
Select an answer first
15application · medium
A non-profit organization wants to create a transparent donation tracking system. They want donors to be able to verify that their donations were used as intended. Which feature of DLT is most important for this use case?
Select an answer first

Finished these 5 questions?

Review the revealed explanations, or continue through the curriculum.

Next 5 questions →Back to BBLC

Free Basic Practice is a study aid with revealable answers — not a scored exam. Examers.io is independent and not affiliated with or endorsed by EC-Council. “BBLC” is a trademark of its owner, used for identification only.