L1 - Relevance of Blockchain-based Systems Engineering

Question 1

Technical description of Blockchain

Answer 1

• distributed database. By design inherently resistant to modification

Question 2

Functional description of Blockchain

Answer 2

system that enables parties who don’t fully trust each other to form and maintain consensus about the existence, status and evolution of a set of shared facts.

Question 3

Potential of Blockchain

Answer 3

• intermediary-free transaction of digital goods
• transaction details are stored immutable and decentralized
• automated, programmable contracts can ensure contract compliance (smart contracts)

Question 4

Smart contract

Answer 4

a program that runs on a blockchain. It is a collection of code (functions) and persistent data (state).

Question 5

Three aspects of design thinking in Blockchain?

Answer 5

Business viability, people, technology feasibility

Question 6

Aspects to fulfil to have a promising use case for blockchain

Answer 6

• multiple parties are involved and
• parties do not trust each other or have different interests and
• share write access is required and
• all writes to the database need to be publicly verifiable

Question 7

Benefits of centralized platforms

Answer 7

• efficient
• scalable
• standardized components

Question 8

Brawbacks of centralized platforms

Answer 8

• requires trust in platform provider
• availability
• sufficient resources
• fair conditions
• no manipulation

Question 9

Drawbacks of permissioned blockchain

Answer 9

• interoperability between different consortia
• system complexity
• blockchain governance

Question 10

On which blockchain do smart contracts run?

Answer 10

Ethereum (not sure about Bitcoin)