Blockchain Ecosystem and Use Cases BFC Practice Questions (Page 8)

Questions 36–40

1. 36expert · hard

   A fintech company is deciding whether to invest in a blockchain-based central bank digital currency (CBDC) solution or a decentralized stablecoin for its payment platform. The company needs to support high transaction volumes, ensure regulatory compliance, and maintain user privacy. Which option is more likely to meet these needs?

   • AA CBDC on a public blockchain with full transparency of all transactions
   • BA decentralized stablecoin on a public blockchain with no oversight
   • CA CBDC built on a permissioned blockchain with a central bank overseeing compliance and privacy controls
   • DA private stablecoin issued by the company without any backing
   Reveal Solution Discussion Select an answer first
2. 37foundation · easy

   In a financial transaction, how does a smart contract automate the execution of an agreement?

   • AIt requires a notary to approve each step
   • BIt automatically triggers actions, such as transferring funds, when conditions are met
   • CIt relies on a central bank to execute the transfer
   • DIt sends an email to both parties for manual approval
   Reveal Solution Discussion Select an answer first
4. 38foundation · easy

   What is the main challenge of blockchain interoperability in financial applications?

   • AMaking all blockchains private
   • BEnabling different blockchain networks to communicate and share data seamlessly
   • CPreventing any data from leaving a single blockchain
   • DEnsuring that all blockchains use the same consensus algorithm
   Reveal Solution Discussion Select an answer first
5. 39application · medium

   A real estate company wants to allow investors to buy fractional ownership in commercial properties. They plan to represent each property as a digital token on a blockchain and automate rental income distribution. Which combination of features is most essential for this use case?

   • AA non-fungible token (NFT) for each property with manual income distribution.
   • BA permissioned blockchain with no smart contract capability but with a central ledger.
   • CA fungible token standard with smart contracts that distribute rental income proportionally.
   • DA public blockchain with a volatile token that represents ownership but no legal framework.
   Reveal Solution Discussion Select an answer first
6. 40application · medium

   A remittance company wants to reduce the cost and time of cross-border money transfers for migrant workers. They are considering blockchain to bypass correspondent banking. Which blockchain use case directly addresses this need?

   • AUsing a blockchain-based voting system for the company's board
   • BUsing a stablecoin on a public blockchain for peer-to-peer transfers
   • CUsing a blockchain to store customer complaints
   • DUsing a private blockchain for internal accounting only
   Reveal Solution Discussion Select an answer first