Chapter 3…

Blockchain Multiple Choice Question With Answer

Technology  Choose the correct alternative from the

following :
(A) Basics of Blockchain Technology
1. Who invented blockchain technology?
Weightage of Marks = 00 Teaching Hours = 00
(a) Elon Musk (b) Satoshi Nakamoto
Syllabus (c) Vitalik Buterin (d) Tim Berners-Lee
3.1 Basics of Blockchain Technology - 2. What is a blockchain?
Definition, Key Features of (a) A centralized database
Blockchain (Decentralization, (b) A decentralized digital ledger
Transparency, Immutability), (c) A traditional banking system
Traditional vs Blockchain System (d) A programming language
3.2 Blockchain Architecture 3. What is the first block in the blockchain called?
3.3 Types of Blockchain - Public Blockchain, (a) Prime block (b) Genesis block
Private Blockchain, Consortium Blockchain (c) Root block (d) Initial block
and Hybrid Blockchain 4. The blockchain ledger is 
(a) Mutable (b) Immutable
3.4 Blockchain Applications - Finance,
(c) Partially mutable (d) Deleted regularly
Healthcare, Supply chain and Gaming
5. Which feature allows all nodes to keep a copy of
3.5 Role of Blockchain in Smart the blockchain?
Contracts and Cryptocurrencies - (a) Transparency (b) Decentralization
Definition, Key Features of Smart
(c) Anonymity (d) Centralization
Contracts, Popular Cryptocurrencies
3.6 Challenges in Blockchain Technology
6. The hash in a blockchain block is  (a) Open to the public.
(a) The users’ password (b) Permissioned and controlled by an
(b) A unique identifier of the block organization.
(c) The blockchain’s name (c) The same as public blockchains.
(d) The transaction amount (d) More decentralized than public blockchains.
7. What links a block to its previous block? 18. Consortium blockchains are 
(a) Timestamp (b) Previous block's hash (a) Public blockchains.
(c) User ID (d) Transaction amount (b) Governed by multiple organizations.
8. What process do miners perform? (c) Controlled by no one.
(a) Code smart contracts (d) Solely managed by governments.
(b) Verify and add blocks to the blockchain 19. Hybrid blockchains 
(c) Delete invalid transactions (a) Combine features of public and private
(d) Create cryptocurrencies blockchains.
(B) Key Features of Blockchain (b) Are fully centralized.
9. Which of the following is NOT a key (c) Are prohibited in most countries.
feature of blockchain? (d) Do not use cryptography.
(a) Centralized control (b) Immutability (E) Blockchain Applications
(c) Transparency (d) Decentralization 20. Which industry uses blockchain for secure
10. What ensures transactions on the cross-border payments?
blockchain cannot be altered? (a) Healthcare (b) Finance
(a) Consensus algorithm (b) Digital wallets
(c) Supply Chain (d) Gaming
(c) Miners’ IDs (d) Private keys
21. Blockchain improves supply chains by 
11. Blockchain network participants are called 
(a) Reducing transparency.
(a) Servers (b) Miners
(b) Tracking products from origin to consumer.
(c) Nodes (d) Clients
(c) Hiding product details.
12. What property ensures all network copies
remain consistent? (d) Increasing fraud risk.
(a) Central authority control 22. In healthcare, blockchain helps by 
(b) Consensus protocols (a) Making all patient data public.
(c) Data encryption (b) Securely storing and sharing medical records.
(d) Transactions fees (c) Slowing down data access.
(C) Traditional System vs Blockchain System (d) Reducing data collection.
13. Which system has a single point of failure? 23. Blockchain offers gamers the ability to 
(a) Blockchain (a) Own in-game assets as NFTs.
(b) Traditional centralized system (b) Cheat on games.
(c) Peer-to-peer network (c) Avoid transparency.
(d) Decentralized system (d) Use centralized servers.
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 these

(D) Types of Blockchain

16. Public blockchains are 
(a) Permissioned and private
(b) Open to anyone
(c) Operated by a single company
(d) Always faster than private blockchains
17. Private blockchains are 
1. (b) 2. (b) 3 4. (b) 5. (b) 6. (b) 7. (b)
.

(
b
)
8. (b) 9. (a) 1 11. (c) 12. (b) 13. (b) 14. (b)
0
.

(
a
)
15. (b) 16. (b) 1 18. (b) 19. (b) 20. (a) 21. (b)
7
.

(
b
)
22. (b) 23. (b)
Answers
24. Blockchain eliminates the need for 
(a) Cryptography (b) Intermediaries
(c) Data storage (d) Recording transactions