R3 Corda Application in Blockchain Finance BFC Practice Questions (Page 4)

Questions 16–20

1. 16foundation · easy

   In a Corda transaction, what is the purpose of collecting signatures from the involved parties?

   • ATo register the transaction with the notary
   • BTo prove that the parties agree to the transaction's proposed state changes
   • CTo encrypt the transaction data for privacy
   • DTo pay transaction fees to the network
   Reveal Solution Discussion Select an answer first
2. 17application · medium

   A financial institution is integrating Corda with its existing customer relationship management (CRM) system. The CRM system needs to display the status of a trade finance transaction that is managed on Corda. The integration should be near real-time and should not require the CRM to store blockchain data. What is the best approach?

   • AExport all Corda transactions to a data warehouse and have the CRM query that
   • BUse a smart contract on a public blockchain to mirror the Corda data
   • CHave the CRM system connect directly to the Corda node's internal database
   • DUse Corda's vault query API to fetch the latest state and expose it via a REST endpoint for the CRM
   Reveal Solution Discussion Select an answer first
4. 18application · medium

   A bank wants to integrate its existing core banking system with a Corda-based trade finance application. The core system uses REST APIs and a relational database. The bank needs to trigger a Corda flow when a new trade is created in the core system. What is the most appropriate integration approach?

   • AExpose the Corda flow as a REST endpoint using the Corda HTTP API and call it from the core system
   • BUse a smart contract on a public blockchain to synchronize the core system with Corda
   • CManually re-enter the trade data into the Corda node's built-in UI
   • DDirectly modify the Corda node's database to insert the new trade state
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5. 19application · medium

   A financial institution is evaluating Corda for a cross-border payments use case. They need to integrate with their existing core banking system and also ensure that transactions are final and cannot be double-spent. Which Corda feature is most relevant to meeting the integration requirement?

   • AThe CorDapp's web APIs and RPC interface, which expose Corda functionality to external systems
   • BThe network map, which lists all nodes and their services
   • CThe vault API, which allows external systems to query and update states
   • DThe notary service, which provides finality and uniqueness
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6. 20expert · hard

   A Corda network is experiencing performance issues because a single notary is becoming a bottleneck. The network operator is considering moving to a distributed notary cluster. What is the primary trade-off that must be considered?

   • AReduced security because the notary cluster is less trusted than a single notary
   • BLoss of transaction privacy because all notary members see all transaction data
   • CIncreased latency for transactions that require consensus from multiple notary members
   • DInability to use the network because notary clusters are not supported in Corda
   Reveal Solution Discussion Select an answer first