Emerging Trends in Computer Engineering and
Information Technology (Sem. VI)
UNIT – III (Blockchain Technology)
Multiple Choice Question with Answer
(A)Basics of Blockchain Technology
1. Who is known as the inventor of Bitcoin?
(a) Elon Musk
(b) Satoshi Nakamoto
(c) Vitalik Buterin
(d) None of these
2. What is Blockchain?
(a) A type of database
(b) A decentralized digital ledger
(c) A programming language
(d) None of these
3. The first block in a blockchain is called:
(a) Header block
(b) Genesis block
(c) Start block
(d) None of these
4. Blockchain data structure is:
(a) Mutable
(b) Immutable
(c) Temporary
(d) None of these
5. Which of the following is a key feature of blockchain?
(a) Transparency
(b) Centralization
(c) Decentralization
(d) None of these
6. The hash in a blockchain block is ..........
(a) The users' password
(b) A unique identifier of the block
(c) The blockchain's name
(d) The transaction amount
7. What links a block to its previous block?
(a) Timestamp
(b) Previous block's hash
(c) User ID
(d) Transaction amount
8. What process do miners perform?
(a) Code smart contracts
(b) Verify and add blocks to the blockchain
(c) Delete invalid transactions
(d) Create cryptocurrencies
(B) Key Features of Blockchain
9. Which of the following is NOT a key feature of
blockchain?
(a) Centralized control
(b) Immutability
(c) Transparency
(d) Decentralization
10. What ensures transactions on the blockchain cannot be
altered?
(a) Consensus algorithm
(b) Digital wallets
(c) Miners' IDs
(d) Private keys
11. Blockchain network participants are called ..........
(a) Servers
(b) Miners
(c) Nodes
(d) Clients
12. What property ensures all network copies remain
consistent?
(a) Central authority control
(b) Consensus protocols
(c) Data encryption
(d) Transactions fees
(C) Traditional System vs Blockchain System
13. Which system has a single point of failure?
(a) Blockchain
(b) Traditional centralized system
(c) Peer-to-peer network
(d) Decentralized system
14. Which system provides higher transparency?
(a) Traditional system
(b) Blockchain
(c) Neither
(d) Both equally
15. Which system is typically slower for cross-border
transactions?
(a) Blockchain
(b) Traditional centralized system
(c) Both the same
(d) None of the above
16. Blockchain eliminates the need for ………
(a) Cryptography
(b) Intermediaries
(c) Data storage
(d) Recording transactions
(D)Types of Blockchain
17. Public blockchains are ………
(a) Permissioned and private
(b) Open to anyone
(c) Operated by a single company
(d) Always faster than private blockchains
18. Private blockchains are ………
(a) Open to the public
(b) Permissioned and controlled by an
organization. (c) The same as public
blockchains
(d) More decentralized than public blockchains
19. Consortium blockchains are ………
(a) Public blockchains
(b) Governed by multiple organizations
(c) Controlled by no one
(d) Solely managed by governments
20. Hybrid blockchains ………
(a) Combine features of public and private blockchains
(b) Are fully centralized
(c) Are prohibited in most countries
(d) Do not use cryptography
(E)Blockchain Application
21. Which industry uses blockchain for secure
cross-border payments?
(a) Healthcare
(b) Finance
(c) Supply Chain
(d) Gaming
22. Blockchain improves supply chains by ………
(a) Reducing transparency
(b) Tracking products from origin to consumer
(c) Hiding product details
(d) Increasing fraud risk
23. In healthcare, blockchain helps by ………
(a) Making all patient data public
(b) Securely storing and sharing medical records
(c) Slowing down data access
(d) Reducing data collection
24. Blockchain offers gamers the ability to ………
(a) Own in-game assets as NFTs
(b) Cheat on games
(c) Avoid transparency
(d) Use centralized servers
(F)Smart Contracts and Cryptocurrencies
25. Smart contracts ………
(a) Require a lawyer to enforce
(b) Are self-executing contracts coded on blockchain
(c) Can be changed anytime by the creator
(d) Need intermediaries
26. Which is a key feature of smart contracts?
(a) Autonomy and immutability
(b) Manual execution
(c) Require human intervention
(d) Can be erased easily
27. Bitcoin is ………
(a) A centralized digital currency
(b) A cryptocurrency operating on blockchain
(c) A fiat currency
(d) Not related to blockchain
28. Ethereum is known for ………
(a) Only cryptocurrency transactions
(b) Enabling smart contract execution
(c) Being a private blockchain
(d) Centralized control
(G)Blockchain Challenges
29. The biggest scalability challenge is ………
(a) Slow transactions as network grows
(b) Too much transparency
(c) Lack of security
(d) Too many users
30. Proof of Work consensus consumes ………
(a) Minimal energy
(b) High energy due to mining computations
(c) No electricity
(d) Renewable resources only
31. Regulatory uncertainty ………
(a) Encourages rapid adoption
(b) Hinders blockchain adoption globally
(c) Is resolved everywhere
(d) Does not affect blockchain
32. What is a “51% attack”?
(a) When a single user controls over half of all mining
power
(b) More than half network uses blockchain
(c) Over half transactions are instant
(d) None of the above
33. Immutability challenges include ………
(a) Inability to correct errors once stored
(b) Data easily altered
(c) Data deleted automatically
(d) Frequent rollbacks
34. A privacy issue in public blockchains is ..........
(a) Complete anonymity.
(b) Exposure of transaction details publicly.
(c) Data encryption.
(d) Transparency for trusted users only.
(H)Additional Concepts
35. What is a node in blockchain?
(a) A centralized server.
(b) A participant computer maintaining the
blockchain.
(c) A programming language.
(d) A data block.
36. Which cryptographic function helps identify blocks
uniquely?
(a) Hash function.
(b) Digital signature.
(c) Public key.
(d) Private key.
37. What does the consensus mechanism do?
(a) Deletes blocks.
(b) Ensures network agreement on blockchain data.
(c) Hides transactions.
(d) Creates private keys.
38. Which blockchain type is most suitable for enterprise
solutions requiring privacy?
(a) Public blockchain.
(b) Private blockchain.
(c) Hybrid blockchain.
(d) Consortium blockchain.
39. What is tokenization in blockchain?
(a) Converting assets into digital tokens for easier
transfer.
(b) Hiding asset identity.
(c) Destroying digital records.
(d) Encrypting personal data only.
40. Auditability in blockchain refers to ..........
(a) Erasing past transactions.
(b) Traceability and verification of all transactions.
(c) Central bank control of records.
(d) Only private log keeping.
41. Which feature of blockchain supports financial
inclusion?
(a) Centralized authority.
(b) Open access and no intermediaries.
(c) High transaction fees.
(d) Complex licensing.
42. “Smart contracts” are based on ..........
(a) “if/when-then” logic.
(b) Manual approval process.
(c) Paper documentation.
(d) Third-party arbitration.
43. Which blockchain consensus reduces energy
consumption compared to Proof of Work?
(a) Proof of Stake.
(b) Proof of Authority.
(c) Proof of Identity.
(d) Proof of Power.
44. Cross-border payments on blockchain are ..........
(a) Slow and costly.
(b) Faster and cheaper due to lack of intermediaries.
(c) Only for cryptocurrency.
(d) Not traceable.
45. Blockchain transparency affects users by ..........
(a) Increasing trust through visible data.
(b) Hiding their transaction details.
(c) Removing all privacy.
(d) Centralizing control.
46. What type of blockchain is Ripple known for?
(a) Public blockchain.
(b) Consortium blockchain.
(c) Private blockchain.
(d) Hybrid blockchain.
47. What happens when a new node joins a blockchain
network?
(a) It receives a full copy of the blockchain.
(b) It gets limited data.
(c) It controls the network.
(d) It manages mining rewards.
48. The decentralized nature of blockchain ..........
(a) Makes data tampering easy.
(b) Increases risk of failure.
(c) Enhances security by multiple copies.
(d) Depends on a central server.
49. Gas fees in Ethereum are used to ..........
(a) Pay transaction processing on blockchain.
(b) Control user access.
(c) Reward users with tokens.
(d) None of the above.
50. Which blockchain is known for pioneering smart
contracts?
(a) Bitcoin.
(b) Ethereum.
(c) Litecoin.
(d) Dogecoin.