Blockchain Security Training Blockchain Wallet & Exchange Security

Question 1

What is the primary security advantage of a hardware wallet over a software wallet?

Accepted Answer

It stores private keys in an offline, tamper-resistant chip

Answer

It encrypts transactions using AES-256

Answer

It connects to multiple blockchains simultaneously

Answer

It automatically updates firmware to patch vulnerabilities

Question 2

What is a BIP-39 mnemonic seed phrase used for in blockchain wallet security?

Accepted Answer

Deterministically regenerating all wallet private keys from a single backup

Answer

Encrypting on-chain transactions end-to-end

Answer

Authenticating users on centralized exchanges

Answer

Verifying smart contract bytecode on deployment

Question 3

Which attack method involves malware silently replacing a copied cryptocurrency address with the attacker's own address?

Accepted Answer

Clipboard hijacking attack

Answer

Sybil attack

Answer

Replay attack

Answer

Eclipse attack

Question 4

What is the minimum number of co-signers required to authorize a transaction in a 2-of-3 multisig wallet?

Accepted Answer

2

Answer

1

Answer

3

Answer

0

Question 5

What best practice should users follow when physically backing up a hardware wallet seed phrase?

Accepted Answer

Write it on paper or metal and store it in a physically secure, offline location

Answer

Store it in an encrypted digital file on cloud storage

Answer

Email it to yourself using a strong password

Answer

Save it in the wallet app's built-in cloud backup feature

Question 6

What type of wallet attack tricks a user into installing a counterfeit wallet application that steals private keys on first use?

Accepted Answer

Supply chain / fake wallet attack

Answer

Man-in-the-middle attack

Answer

Front-running attack

Answer

Dusting attack