A consortium of shipping companies wants to use blockchain to automate customs clearance. They plan to use smart contracts to trigger payments when goods arrive. However, they are concerned about the 'oracle problem'. What is the best way to mitigate this risk?

Use multiple independent oracles and require consensus among them before triggering the smart contract.

Avoid using smart contracts and rely on manual verification.

Use a single, trusted oracle provided by the consortium leader.

Have the smart contract directly access the shipping company's GPS tracking system.

A government agency wants to issue digital credentials to citizens. They need to ensure that only authorized government offices can issue credentials, but any third-party employer should be able to verify a credential without needing special permission. Which blockchain deployment model best fits this requirement?

Consortium blockchain with permissioned write access and public read access

Private blockchain with a single authority

Public blockchain with open participation

Distributed ledger without a consensus mechanism

What is the primary function of a block in a blockchain?

To provide a user interface for interacting with the blockchain.

To encrypt all data in the network using a private key.

To serve as the only copy of the ledger for all participants.

To store a batch of validated transactions and a reference to the previous block.

How do smart contracts automate business processes on blockchain?

They execute predefined actions automatically when conditions are met, without intermediaries.

They use artificial intelligence to negotiate contract terms.

They require manual approval from all parties before executing.

They store business documents in a centralized repository.

How are blocks linked to form a blockchain?

Blocks are linked by a timestamp that is identical in all blocks.

Blocks are linked by storing the full transaction history in every block.

Blocks are linked by a shared public key that all participants use.

Each block contains the cryptographic hash of the previous block.

EC-CouncilBlockchain Business Leader Certification

Domain 1Objective 1

Fundamental Concepts and Working Principles of Blockchain Technology BBLC Practice Questions (Page 9)

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

56questions here

12free pages

12concepts

Questions 41–45

41expert · hard
A consortium of shipping companies wants to use blockchain to automate customs clearance. They plan to use smart contracts to trigger payments when goods arrive. However, they are concerned about the 'oracle problem'. What is the best way to mitigate this risk?
Select an answer first
42application · medium
A government agency wants to issue digital credentials to citizens. They need to ensure that only authorized government offices can issue credentials, but any third-party employer should be able to verify a credential without needing special permission. Which blockchain deployment model best fits this requirement?
Select an answer first
43foundation · easy
What is the primary function of a block in a blockchain?
Select an answer first
44foundation · easy
How do smart contracts automate business processes on blockchain?
Select an answer first
45foundation · easy
How are blocks linked to form a blockchain?
Select an answer first

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