Bitcoin Mining, Forking, and Scalability Solutions BDC Practice Questions (Page 1)

Questions 1–5

1. 1application · medium

   A coffee shop wants to accept Bitcoin for small purchases but cannot wait 10 minutes for confirmation. Which solution best addresses this need?

   • AUse the Lightning Network to open a payment channel and settle transactions instantly off-chain.
   • BUse a sidechain that requires a two-way peg and trust in federation.
   • CIncrease the transaction fee to encourage miners to prioritize the transaction.
   • DWait for the next difficulty adjustment to reduce block time.
   Reveal Solution Discussion Select an answer first
2. 2application · medium

   A mining pool uses a proportional reward system. A miner contributes 10% of the pool's total hash power for a full day. If the pool finds 5 blocks that day, what is the miner's expected reward?

   • A0.1 block reward because they contributed 10% of hash power.
   • B5 block rewards because they contributed to the pool.
   • C0.5 block reward minus pool fees.
   • D1 block reward because they are part of the pool.
   Reveal Solution Discussion Select an answer first
4. 3application · medium

   A miner receives a new block from the network. Before attempting to mine the next block, what must the miner do?

   • AWait for the next difficulty adjustment before mining.
   • BBroadcast the block to other miners to confirm it.
   • CImmediately start hashing the block header to find the next block.
   • DValidate all transactions in the block and verify the proof of work.
   Reveal Solution Discussion Select an answer first
5. 4foundation · easy

   What is a common cause of a hard fork in a cryptocurrency like Bitcoin?

   • AA malicious attack that corrupts the blockchain data
   • BA disagreement among developers and community members about protocol changes
   • CA change in the mining difficulty
   • DA temporary network outage that causes nodes to lose sync
   Reveal Solution Discussion Select an answer first
6. 5foundation · easy

   In Bitcoin's Proof of Work consensus, what does a miner need to find to create a valid block?

   • AA timestamp that is exactly 10 minutes after the previous block
   • BA private key that corresponds to the block reward address
   • CA nonce that produces a block hash below the current difficulty target
   • DA digital signature that matches the previous block's hash
   Reveal Solution Discussion Select an answer first