The Decentralized World of Bitcoin
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Questions and Answers

Which of the following is a reason why Bitcoin was created?

  • To charge enormous fees for transactions
  • To create a middleman for financial exchanges
  • To eliminate corruption in big banks (correct)
  • To provide a decentralized virtual currency
  • What is the main advantage of Bitcoin's decentralized system?

  • Transparency in transactions (correct)
  • Lower transaction fees
  • Ability to choose different payment methods
  • Faster transaction speed
  • What is the function of the blockchain in the Bitcoin system?

  • To store all confirmed transactions (correct)
  • To eliminate the need for peer-to-peer validation
  • To encrypt user information
  • To create new Bitcoins
  • How are Bitcoin transactions validated in the peer-to-peer computer network?

    <p>Through peer-to-peer validation</p> Signup and view all the answers

    Which of the following payment methods can be used with Bitcoin?

    <p>Checks, wiring, and cash</p> Signup and view all the answers

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