Question

In the context of blockchain technology, answer the following questions:

i. What is a digital signature? Assume Bob has created a transaction to send some money to Alice. Why should Bob put his digital signature along with his public key inside the transaction?

Answer 1

A digital signature is a cryptographic method that proves ownership and integrity. Bob includes it with his public key in a blockchain transaction to secure and authenticate the transfer to Alice.

Step-by-step explanation:

A digital signature is a cryptographic mechanism that allows an individual to prove ownership and ensure the integrity of a digital document or message, such as a transaction. In the context of blockchain technology, when Bob creates a transaction to send money to Alice, he should include his digital signature along with his public key in the transaction. The digital signature serves multiple purposes:

• It confirms that Bob is the rightful owner of the funds he is attempting to send.
• It provides proof that the transaction has not been tampered with after Bob created it.
• Anyone on the network can verify the transaction's authenticity using Bob's public key.

This ensures the security and trustworthiness of transactions on the blockchain.