Blockchain Developer Certification Practice

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Prepare for the Blockchain Developer Certification. Master blockchain concepts with flashcards and multiple choice questions. Explanation-based learning for your success!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

What is one method Ethereum uses to limit resource consumption during smart contract execution?

Transaction fees paid in Bitcoin.
Execution time limits imposed by the blockchain.
Gas limits that determine the maximum resources that can be consumed.
Network latency that slows down transaction speeds.

The correct answer is: Gas limits that determine the maximum resources that can be consumed.

Ethereum utilizes gas limits to control resource consumption during the execution of smart contracts. Each operation within a smart contract has an associated gas cost, which represents the computational resources required to execute that action. When a user wants to execute a transaction or a contract, they must specify a gas limit and provide a fee that they are willing to pay for the execution. By setting a gas limit, Ethereum ensures that transactions do not consume unlimited resources, which helps maintain network stability and prevents denial-of-service attacks. If a contract runs out of gas during execution, it reverts any changes and ensures that the network remains efficient. This model incentivizes developers to write efficient contracts and discourages resource-intensive operations that could burden the overall network performance.