Proof of Stake (PoS) and Derivative Protocols BDC Practice Questions (Page 5)

Questions 21–25

1. 21application · medium

   A developer is considering Proof of Burn (PoB) for a new token to distribute initial coins fairly. Which statement accurately describes a key characteristic of PoB?

   • AParticipants solve a computational puzzle to earn new coins
   • BParticipants send coins to an unspendable address to demonstrate commitment and earn the right to mine
   • CParticipants lock coins for a fixed period and earn interest
   • DParticipants are selected based on their reputation score
   Reveal Solution Discussion Select an answer first
2. 22application · medium

   A small token holder wants to participate in a Leased Proof of Stake (LPoS) network but does not have enough tokens to become a forging node. What is the most appropriate way for them to participate?

   • ALease their tokens to a larger node and receive a share of the forging rewards
   • BCreate a smart contract to pool tokens with others without leasing
   • CRun a full node and hope to be randomly selected to forge a block
   • DBuy more tokens on an exchange to reach the minimum forging threshold
   Reveal Solution Discussion Select an answer first
4. 23application · medium

   A validator on a Proof of Stake network is found to have signed two conflicting blocks at the same height. The network's protocol penalizes this behavior. What is the most likely consequence for the validator?

   • AThe validator is temporarily banned from proposing blocks for a week, but their stake remains intact.
   • BThe validator's stake is transferred to the other validators as a reward.
   • CThe validator's entire stake is slashed, and they are ejected from the validator set.
   • DThe validator loses only the rewards earned during that epoch, but keeps their stake.
   Reveal Solution Discussion Select an answer first
5. 24expert · hard

   A DPoS network is experiencing a governance crisis: a group of delegates controls 60% of the voting power and is proposing a rule change that would increase their block rewards. Small token holders feel powerless. Which governance change would most effectively address the power imbalance while preserving DPoS efficiency?

   • ARemove the ability of token holders to vote and let the delegates decide all protocol changes.
   • BIntroduce a quadratic voting mechanism where the cost of additional votes increases quadratically, making it harder for large stakeholders to dominate.
   • CAllow delegates to set their own reward rates without a vote.
   • DRequire a simple majority of all token holders to approve any change, regardless of stake.
   Reveal Solution Discussion Select an answer first
6. 25foundation · easy

   In Proof of Burn (PoB), how does a participant gain the right to mine or forge blocks?

   • ABy sending coins to an unspendable address, effectively destroying them
   • BBy locking coins for a fixed period
   • CBy receiving approval from a central authority
   • DBy solving a cryptographic puzzle
   Reveal Solution Discussion Select an answer first