Certified Blockchain Architect
" Certified Blockchain Architect (CBA) *** How does the Blockchain Work
"Blockchain is a system that allows a group - connected computers to maintain a single updated / secure ledger. - To perform transactions : Wallet is requried. - Wallet : a program that allows you to store/exchange bitcoins. - Each Wallet is protected by a cryptographic method - uses a unique pair of distinct connected keys - Private & Public Key.
Certified Blockchain Architect (CBA) *** Book Analogy...
"Book = Blockchain Page = Block An entry on a page = Blockchain Transaction.
" Certified Blockchain Architect (CBA) *** Main Resp of Miners
"Building a block and adding into the BlockChain Miners - solve the naunce in such a way -- Miner can be a computer, server or a person or a process -- New Block Signature is in a particular order. -- Will update the balances of all the addressses
" Certified Blockchain Architect (CBA) *** Char of a Cold Wallet
"Cold Wallet: - Cold wallets are offline digital wallets -- where the transfers are digitally signed and -- then electronically disclosed. - Private keys are kept in independent hardware that is not connected to the internet or the cloud, but stored on a paper document. - The cold wallet transaction approach helps to shield the wallet from unauthorized entry. Examples: Trezor and Ledger
" Certified Blockchain Architect (CBA) *** What is a token
"Could be a token bill or a 1$ bill/money bill - anything that represents value. - Could also be a receipt that you get - a title of ownership.
" Certified Blockchain Architect (CBA) *** Explain Confidentiality & Integrity
"Blockchain is a openly distributed ledger yet a private system due to encryption Hyperledger fabric - Private & Confidenctiality Features using Certificate Authority (CA) Server.
" Certified Blockchain Architect (CBA) *** What is Crptocurrency
"Cryptocurrency: a digital token | representing monetory value - exchanged on blockchain - using cryptographic algorithms - to secure the p2p transaction | Transx : Valid
Certified Blockchain Architect (CBA) *** What is a Cryptocurrency
"Cryptocurrency: a digital token | representing monetory value - exchanged on blockchain - using cryptographic algorithms - to secure the p2p transaction | Transx : Valid
" Certified Blockchain Architect (CBA) *** Explain Disintermediation
"DO NOT REQUIRE - Mediator | Centralized Administrator | Trusted 3rd Party -- to verify transactions - Verified by all the peers together by Collaborative Alogorithms.
Certified Blockchain Architect (CBA) *** What is Digital Token also called
"Digital Token - a.k.a Crypto Asset - uses Crptographic alogorithm to secure - the party who is releasing the token - the party who is accepting the token - to recognize the transaciton as valid and secure
" Certified Blockchain Architect (CBA) *** Mining a block - what is done
"During Mining a block - the block is hashed multiple times - with different values of nounces - each time to determine a Valid hash
" Certified Blockchain Architect (CBA) *** Purpose of Hashing in Blockchain
"Transactions of different lengths are run through a given hashing algorithm, - and all give an output of a fixed length, - called a hash
" Certified Blockchain Architect (CBA) *** How is scalabity obtained in blockchain
"Arranging Transaction hashes in short and secure hash(es)
" Certified Blockchain Architect (CBA) *** Define Network Adjusted Time
"Network Adjusted Time - median of the timestamps returned by all the nodes connected to the blockchain - Keep the nodes well synchronized
" Certified Blockchain Architect (CBA) *** Purpose of Nounce
"Nounce - Variable increment by the Proof-Of-Work - Variable decided by the Miner creating the BLOCK - Keep the BLOCK hash under the target value - Miner gueses the NONCE value : PROOF_OF_WORK -- A Hash smaller than the target.
Certified Blockchain Architect (CBA) *** Construct a Sample Block 2
"Nounce : 3456789 Sha256(Block 0) A= 9 | B= 8 | C= 15 | D = 11 | E = 17 tx1 E -> B, 1 Coin tx2 C -> E, 6 Coins Sha256(Block 1)
" Certified Blockchain Architect (CBA) *** Construct a Sample Block 3
"Nounce : 3456789 Sha256(Block 0) A= 9 | B= 9 | C= 9 | D = 11 | E = 22 tx1 .... Txn... Sha256(Block 2)
" Certified Blockchain Architect (CBA) *** Objectives of Cryptographic Hash
"Objectives of Cryptographic Hash : safety goals such as - authentication, - generation of pseudo numbers - digital steganography - digital time-stamping - digital signatures.
" Certified Blockchain Architect (CBA) *** Purpose of Previous Block Hash
"Previous Block Hash: - Brings Connection | Chronology between Blocks - Connect a Block to the previouis BLOCK - Build Blocks on top of each other
" Certified Blockchain Architect (CBA) *** What is Proof of Stake
"Proof of Stake - Building of reputation based either upon the -- Number of coins or tokens or Status in the market -- Higher the reputation, more easily they can add new blocks to the blockchain
" Certified Blockchain Architect (CBA) *** Purpose of Public/Private Keys
"Public and private keys are used - to encrypt and decrypt transaction - so only the intended recipient can know the transaction data
" Certified Blockchain Architect (CBA) *** Adv of Hashing in Blockchain
"Reduces data size - Makes data storage very economical - Makes data storage less bulky - data is timestamped and hashed for future reference
" Certified Blockchain Architect (CBA) *** Why need a Blockchain Architect ?
"Requirment for a tailor made blockchain application - with unique business needs - Assistance is requried for designing blockchain solutions
Certified Blockchain Architect (CBA) *** What cannot be reversed
"Reverse the digest/signature - to the original input data.
" Certified Blockchain Architect (CBA) *** Merkle Tree is used for ...
"Store - summary of all transactions in a block - digital fingerprint of a transaction set is created
" Certified Blockchain Architect (CBA) *** Where is the Merkel Root stored
"Stored in a block header - and summarizes all the transactions included in that block - this maintains the integrity of the data.
Certified Blockchain Architect (CBA) *** Char of a Hash Function
"Takes in a Transaction Data Input - Generates an output ofa fixed length
" Certified Blockchain Architect (CBA) *** A new block is added....What main details go into it.
"The Hash of the previous block will go - into the Header of the New Block
" Certified Blockchain Architect (CBA) *** How is Nonce Value Calculated
"The Nonce Value is calculated as per - the difficulty target of the blockchain
" Certified Blockchain Architect (CBA) *** What does the Block Header contain
"The block header is divided into six components: Version number Previous block hash Merkle tree root hash nbits Nonce Timestamp
" Certified Blockchain Architect (CBA) *** Define Blockchain
"The blockchain is a purely distributed - peer-to-peer system of ledgers that utilizes a software unit - that consist of an algorithm, -- which negotiates the informational content of ordered and connected blocks of data together - with cryptographic, security technologies and consensus mechanisms -- in order to achieve and maintain its integrity
" Certified Blockchain Architect (CBA) *** What is the first block called
"The first block is called Genesis Block - The first block must introduce the new balance. The balance can be 0.
" Certified Blockchain Architect (CBA) *** Types of Wallet
"The wallets can be: Software wallets like Metamask which runs on a machine. Hardware wallets are storage devices on which users can store their keys. Paper wallets are just writing down your public and private key on a paper and keeping it someplace safe.
" Certified Blockchain Architect (CBA) *** How is Merkle tree constructed (Const. Approach)
"There are constructed in the bottom-up fashion - from hashes for individual transactions - each leaf node is the hash of each transaction in the block - each non-leaf node is a hash of its children
" Certified Blockchain Architect (CBA) *** Purpose of TimeStamp
"TimeStamp - Purpose : Bring Resilience - Each block contains a unique timestamp - Differentiate between blocks that hold the same set of transactions -- resulting in a different block hash - A timeStamp is considerd valid -- Follow the MEDIAN PASTTIME RULE -- Greater than the median time stamp of the previous 11 blocks -- Less than the network adjusted time
" Certified Blockchain Architect (CBA) *** How is validity of transactions done - without a Merkel Tree
"To check the validity of transactions in its copy, - a node can reach out to its peers to get their copy of the ledger. - This would require comparing each entry of its record to the records of its peers - Any discrepency invalidates the node's copy of the ledger
" Certified Blockchain Architect (CBA) *** Peer-to-Peer Transactions (Blockchain)
"Transactions - point to point - between two parties
" Certified Blockchain Architect (CBA) *** "Post Result of the Block 2 A= 9 | B= 9 | C= 9 | D = 11 | E = 22 Txn1 : A to B : 2 Coins B to E : 1 Coin E to D : 3 Coins D to A : 4 Coins
" "Nounce : 3456789 Sha256(Block 2) A= 11 | B= 10 | C= 9 | D = 10 | E = 20 tx1 .... Txn... Sha256(Block 2)
" Certified Blockchain Architect (CBA) *** "Hash size is dependent on _______ What about Output size
" "The hash size will depend on the hash function used, but the output using a particular hashing algorithm will be of a specific size
" Certified Blockchain Architect (CBA) *** Adv of a Merkle Tree
"(a) This lets any user to quickly verify if a transaction is - included in the block - without the need to reiterate over all the transactions (b) Reduces the data size that is used for verification of transactions - Seperates data from its validation - after it is created, it can be stored locally or in can be distributed across systems
" Certified Blockchain Architect (CBA) *** Construct a Merkel Tree for 220 transactions
"* Construct a Merkel Tree for 220 transactions - Group these transactions as 110 pairs - Hash 110 pairs into 64 character hashes - Hashed into 55 pairs - The last will be duplicated, Repeat the Pairing and Hashing process - Reduce into half, until only 1 hash remains. - This hash is the Merkel Root.
" Certified Blockchain Architect (CBA) *** Responsibilities of a Blockchain Architect ?
"* Evaluate org Business Goals/Needs. * Understand - Emerging Technologies. - Distributed Ledgers - Database Architectures * Determine how IT can accomplish the business need - by leveraging Infra, Hardware, Software. * Work with R&D Team - to design solutions to integrate and leverage blockchain technology -- Support Clients Systems and Apps on DLT -- Storage Solutions - minimizing risks - to meet Business goals. * Lead a team of Blockchain developers/engineers to design/develop solutions * Leverage cross-asset concepts and frameworks * Measure Blockchain Performance
" Certified Blockchain Architect (CBA) *** Adv of using Merkle Tree in Blockchain
"* Integrity and Validity of data - Reducing memory requirements * Verify that is the latest log is built upon - an earlier version and constituent data is recorded serially - ensuring previous records have not been tampered * Check Validity of individual parts of a block * Check Transactions by using Hashes from other branches of the Merkle Tree * Calculate Transaction Hashes as they are being received from peers
" Certified Blockchain Architect (CBA) *** Skills of a Blockchain Architect
"* Knowledge of -- Advnaced Data Structures and Alogorithms -- various Blockchain Platforms. -- Different technologies to achieve performance -- Different programming languages. -- Understand Cryptography. -- Blockchain Protocols -- Architectural Design Patterns.
" Certified Blockchain Architect (CBA) *** Describe Merket Tree using an example
"* Lets look at 4 transactions in a block - A, B, C, D - Each of the transactions are hashed to produce H(A), H(B), H('c), H(D) - stored in each node. - This is considered inefficient, as this leads to redudancy. - Hence, Combine hashes together to store one single Hash -- Combine H(A) + H(B) => H(H(A) + H(B)) -- Combine H(C) + H(D) => H(H(C) + H(D)) - Combine H(H(A) + H(B)) + H(H(C) + H(D)) to create the Merkel Root - The Merkel Root acts as a root hash - Fingerprint for all the transactions
" Certified Blockchain Architect (CBA) *** What makes Blockchain Different
"* No central authority * Dis-intermediation * Auditability * Verificability * Integrity * Confidentiality * Robustness
" Certified Blockchain Architect (CBA) *** Func of a Blockchain Wallet
"A Blockchain wallet -- offers all the features available for safe and secure transactions and - exchanges of funds between various parties.
" Certified Blockchain Architect (CBA) *** What type of Trees are Merkle Trees
"Binary Trees - even number of leaf nodes. - Incase of an odd number of transactions in a block - last one is duplicated to even the leaf nodes.
" Certified Blockchain Architect (CBA) *** What is the hashing algorithm used by Bitcoin
"Bitcoin uses a cryptographic hashing algorithm - Secure Hashing Algorithm 256, often known as SHA-256
" Certified Blockchain Architect (CBA) *** Purpose of Bits
"Bits - Encoding of a BLOCK target for a block - Threshold below which a blockchain header must be in order for the block to be valid.
" Certified Blockchain Architect (CBA) *** Purpose of Block Version
"BlockVersion : Signifies the Blockchain Protocol used
Certified Blockchain Architect (CBA) *** What is a Blockchain Wallet
"A Blockchain wallet is a software program that - enables users to buy, sell, and monitor balance for their digital assets and - record the transaction done using the wallet address
Certified Blockchain Architect (CBA) *** A Block is dividede into...
"A block is divided into: Block header Block body
" Certified Blockchain Architect (CBA) *** What does the Wallet Store
"A wallet stores private and public keys for a user. - As the name suggests, public key is shared and works as the address - while private key is kept private.
" Certified Blockchain Architect (CBA) *** Book Analogy...(Describe)
"Each Page - refers to a block. Connected to the previous page through a page number. - It is easy to arrange the pages/blocks - Easy to identify suspicious activity. -- Easy to detect if a page has been removed or deleted. Because of Page Number. - It is impossible to tamper a previous entry in the ledger -- Without someone noticing it. As pages/blocks are buit on top of one another.
" Certified Blockchain Architect (CBA) *** Considering Bitcoin without a Merkel Tree
"Each node across the network would - require a complete copy of the blockchain - storing every single transaction - The amount of same data to be stored everyone would have been -- huge and growing
" Certified Blockchain Architect (CBA) *** Features of Wallet
"Ease of use Enable multi-cryptocurrency transfers Enables instantaneous transfers across geographies Low Transaction Fees High security
" Certified Blockchain Architect (CBA) *** Explain No-Central Authroity
"Emergence of Online Banking - Transactions are relatively straight forward process. - There are many intermediaries : Reliable Third Party Strucrtures for Transactional Processes. - Ex: SWIFT Network & Credit Card Companies. - Involvement of parties have resulted in High Cost. - Payee and Payer have to bear. Blockchain - Removal of trust in 3rd parties - Set of Cryptographic algorithms -- eliminate the need to trust the 3rd party Transactions are verified by Distributed Nodes - Anybody can join or leave the network without disturbing the ability to make consensus on transactions
" Certified Blockchain Architect (CBA) *** What is UTXO Principle
"Every input in a BitCoin Transaction - comes from the unspent output of some previous transaction - Amount of digital currency someone has left remaining -- after executing a cryptocurreny transaction
" Certified Blockchain Architect (CBA) *** What does verification request require - without Merkel Trees
"Every verification request would require - large packets of information - to be sent over the network
" Certified Blockchain Architect (CBA) *** Explain Robustness
"Extreme Fault Tolerance - Inbult redudancy + Dencentralization - Any machine/node can come and go without informing any of the other nodes.
" Certified Blockchain Architect (CBA) *** Generation of Proof
"Generation of Proof - that the particular block has been validated and added to the Blockchain
" Certified Blockchain Architect (CBA) *** What is a Merkle Tree
"Hash-based data structure - Each leaf node is a hash of a data block - Each non-leaf node is a hash of its offspring. - Has a factor of branching 2 - Each node has up to 2 children
Certified Blockchain Architect (CBA) *** Hashing assists in determining...
"Hashing assists in determining - cryptographic signatures - that determine valid transactions
" Certified Blockchain Architect (CBA) *** How is Merkle tree constructed (Hashing approach)
"Hashing pairs of adjacent nodes arranged - in a tree data structure - done until there is only one node left - which is the root of the tree - aka Merkle Root
Certified Blockchain Architect (CBA) *** Char of a Hot Wallet
"Hot Wallet: Hot wallets are online wallets - through which it is easy to quickly transfer cryptocurrencies. - Private keys in the hot wallet are stored in the cloud for quicker transfer. - Hot wallets can be easily accessible 24/7 online and - Can be accessed from a laptop or mobile computer, but if compromised, there is a chance of unrecoverable theft. Examples: Coinbase and Blockchain.info
" Certified Blockchain Architect (CBA) *** What is SHA256
"Is a Hash algorithim - which is a crunch of any length of data - into a unique string of a fixed length
" Certified Blockchain Architect (CBA) *** Explain Hashing
"Is a process of having - an input item of any length - convert into an output item of a fixed length
" Certified Blockchain Architect (CBA) *** What is nounce
"Is a small string based number
Certified Blockchain Architect (CBA) *** Blockchain Address applies to...
"It applies to a - particular network destination - where it is possible to transfer the cryptocurrency.
Certified Blockchain Architect (CBA) *** What is Blockchain ? (Func w.r.t Transactions)
"It is a compelete ledger which maintains - copy of all the past credit/debit transactions of a digital asset
" Certified Blockchain Architect (CBA) *** What is De=centralized Distribtuted Ledger (Blocchain)
"Like a registry - distributed among many participants (Distributed) - that does not hold a centralized authority (decentralized)
" Certified Blockchain Architect (CBA) *** Purpose of Merkel Tree Root Hash
"Merkel Tree Root Hash: - PURPOSE : Used for Sequentially storing transactions | QUICK VERIFICATION - Transactions are first arranged as a Merkel Tree to encode them securely - Each Transaction is HASHED - Stored in a TREE like structure - Each Hash is linked to its parent - Transaction Hashes are stored at the LEAF level - Two adjacent nodes are merged and hashed together sequentially at each level - Finally all the transasftions are merged into a single hash at the root of TREE -- Merkel Tree ROOT HASH - ROOT HASH : represents all the transactions in a relatvely short string - Move Data from one node to another
" Certified Blockchain Architect (CBA) *** How Merkel Trees help in verification
"Merkel Trees - Separate data from its proof
" Certified Blockchain Architect (CBA) *** How do Miners solve a block
"Miners - Solving the block -- Find a number, when added to the block header -- Makes the hash of the header start with a specified number of zeros -- A Naunce can only be randomly guessed using CPU power -- If miners start from the nonce value of 1 -- Keep on increasing the value, until -- they find a number that makes the Hash of the entire block -- starting with a specified number of zeros -- Thereby solving a block -- Miner can be a computer, server or a person or a process
" Certified Blockchain Architect (CBA) *** How are miners rewarded
"Miners are rewarded for the work - by coins or tokens
" Certified Blockchain Architect (CBA) *** Types of Wallet Used in Blockchain
Hot Wallet, Cold Wallet
" Certified Blockchain Architect (CBA) *** How does the Blockchain Work
"User requests for a transaction - A block is created | Block represents a transaction. - Each of the blocks are bound together by cryptographic principles. - Once the block is created, it is broadcasted to the P2P Network - computers called as Nodes - Nodes validate the transaction. - Once the Transaction is verified, -- The new block is added to the existing blockchain - PERMENANT / UNALTERABLE.
" Certified Blockchain Architect (CBA) *** How immutability obtained in blockchain
"Using Cryptographic funciton in blockchain - provides security to a transaction
" Certified Blockchain Architect (CBA) *** How is a Hash Function used
"Using a Hash Function on a transaction - its output is called a Hash
" Certified Blockchain Architect (CBA) *** Contents of a Block
"VH-PH-BNT (Very Hot Potato, Hot Banana iN Tins) * Block Header - Block Version | Merkle Tree Root Hash | Previous Block Hash | nBits | Nounce | TimeStamp * Block Body - Transaction Counters.
" Certified Blockchain Architect (CBA) *** Explain Verificiability & Auditability
"Verifiable by anyone - Use your account private key to encrypt the Data - Data is being uploaded to the Blockchain - Data should be NOT be visible to everyone. - The person having the public key can view the data uploaded.
" Certified Blockchain Architect (CBA) *** What does Verification Transaction include
"Verification Transaction can include : - Cryptocurrency, Contracts, Records/Other Info
" Certified Blockchain Architect (CBA) *** What is a Blockchain address
A Blockchain address is used to identify a user on blockchain network. It is a special sequence of numbers, letters, and functions
" Certified Blockchain Architect (CBA) *** What is a Block
A block is the fundamental unit of a Blockchain.
Certified Blockchain Architect (CBA) *** What does Hash Rate determine
How difficult it is to mine a block
" Certified Blockchain Architect (CBA) *** What is the Hash Rate
How fast and smothly the mining process is running
" Certified Blockchain Architect (CBA) *** What is a Bitcoin
Bitcoin: cryptocurrency that runs on blockchain.
Certified Blockchain Architect (CBA) *** What does Bitcoin require
Bitcoins read Blockchain infrastructure to operate
" Certified Blockchain Architect (CBA) *** What does the Block Body Contain
Block body contains all the transactions.
Certified Blockchain Architect (CBA) *** Purpose of Merkel Trees
Blocks use merkle tree to store the hash of all the transactions to create the hash of block.
" Certified Blockchain Architect (CBA) *** What is Blockchain ? (Tech)
Chain of Data Blocks stored on hundred / thousand of computers
Certified Blockchain Architect (CBA) *** What does every block contain
Every block contains a hash of all the previous blocks.
" Certified Blockchain Architect (CBA) *** What is Sha256(Block 0)
Signature of the block
" Certified Blockchain Architect (CBA) *** Impact of a change in a block
Signature of the block will completely change
" Certified Blockchain Architect (CBA) *** What is Crypto-asset
Token representing a asset - document, ship, container etc
" Certified Blockchain Architect (CBA) *** What is a Digital Token
Token: the digital representation of a 'unit of possession' that can be exchanged between parties.
" Certified Blockchain Architect (CBA) *** How is security provided in blockchain
Using a cryptographic Hash function