Bitcoin Blockchain Architecture and Network Transactions BFC Practice Questions (Page 10)

Questions 46–50

1. 46foundation · easy

   What is a privacy implication of Bitcoin's public ledger?

   • ATransactions are automatically deleted after a certain period.
   • BOnly miners can view transaction details.
   • CAnyone can view the transaction history associated with a given address.
   • DTransactions are visible to only the sender and recipient.
   Reveal Solution Discussion Select an answer first
2. 47application · medium

   A blockchain analyst is explaining to a client why a miner cannot simply include a fraudulent transaction that spends the same bitcoin twice. Which mechanism directly prevents this?

   • AThe block reward is forfeited if a miner includes a double-spend, so rational miners avoid it.
   • BThe network automatically rejects any block that contains a transaction with the same inputs as a transaction in a previous block.
   • CMiners are required to sign a cryptographic attestation that all transactions in their block are unique.
   • DFull nodes validate every transaction against the UTXO set and reject any transaction that spends an already-spent output.
   Reveal Solution Discussion Select an answer first
4. 48application · medium

   A privacy-conscious user believes Bitcoin transactions are anonymous and plans to accept payments on a public website address. A compliance officer warns that this is not anonymous. What is the most accurate statement about Bitcoin privacy?

   • ABitcoin is anonymous because transactions are encrypted and only miners can see them.
   • BBitcoin is anonymous only if the user never reuses an address.
   • CBitcoin is pseudonymous; all transactions are public and can be linked to an address, potentially revealing identity through off-chain data.
   • DBitcoin is anonymous because addresses are not linked to real-world identities.
   Reveal Solution Discussion Select an answer first
5. 49application · medium

   A bitcoin node operator is considering whether to upgrade to a new client version that introduces a soft fork. What is the key characteristic of a soft fork that affects their decision?

   • AThe upgrade will create a new cryptocurrency, and the operator must choose which chain to follow.
   • BOld nodes can still accept new blocks, but they may not validate all new rules, so the operator can upgrade at their own pace.
   • CThe upgrade will change the block reward schedule, requiring all miners to upgrade immediately.
   • DAll nodes must upgrade simultaneously or the network will split.
   Reveal Solution Discussion Select an answer first
6. 50foundation · easy

   How do Bitcoin transactions propagate through the peer-to-peer network?

   • AThey are broadcast to all nodes simultaneously via a global broadcast channel.
   • BA node sends the transaction to its connected peers, which validate and relay it to their peers.
   • CThey are sent to a central server that distributes them to all nodes.
   • DThey are only shared with miners who then include them in blocks.
   Reveal Solution Discussion Select an answer first