Blockchain Technology — Prelims Questions

Which of the following statements about blockchain technology is/are correct? 1. It is a centralized database maintained by a single authority. 2. Cryptographic hashing ensures the immutability of records. 3. Smart contracts are self-executing agreements stored on the blockchain. 4. Proof of Work (PoW) is the only consensus mechanism used in blockchain.

Consider the following applications of blockchain technology: 1. Supply chain management for traceability of goods. 2. Digital identity verification for e-governance services. 3. Central Bank Digital Currencies (CBDCs). 4. Secure and transparent land record management. Which of the above are potential applications of blockchain in India?

With reference to the regulatory stance on cryptocurrencies in India, consider the following statements: 1. The Reserve Bank of India (RBI) has consistently advocated for a complete ban on all private cryptocurrencies. 2. The Supreme Court of India upheld the RBI's 2018 circular banning regulated entities from dealing in virtual currencies. 3. India has introduced a 30% tax on income from virtual digital assets and a 1% TDS on transactions. Which of the statements given above is/are correct?

Which of the following best describes the 'scalability trilemma' in blockchain technology?

Consider the following statements regarding Central Bank Digital Currencies (CBDCs): 1. CBDCs are digital versions of fiat currency, issued and backed by the central bank. 2. They aim to replace all existing forms of physical cash and private cryptocurrencies. 3. India's e-Rupee pilots include both wholesale and retail segments. Which of the statements given above is/are correct?