Fintech Final || with 100% Error-free Answers.
Supervised Learning correct answers Uses a precise rule to predict outcome
Ex: Regression Random Forrest
(Predict stock returns)
Unsupervised Learning correct answers Uncovers relationships/commonalties/patterns between variables without a model/structure
(What stocks are similar to each other)
Deep Learning correct answers Mimicking how the brain works, uses multi-layered neural network
(Detect investor sentiment using social media)
Ex; time series (nerual nets)
Fin-tech: correct answers Use of technology and analytics to lower frictions in financial servies
Hashing correct answers -One-way encryption
-Allows us to verify that the content of the message has not been altered, and comes from the right sender
-a crypto system to tranform an text of any length into (almsot) irreversible fixed-length string of
numbers and letters
-Hashing is not random. Every time you input as plaintext the same text, the same hash is produced.
-websites dont keep passwords they keep hashes(they compare the hash of what you typed to the hash they have in storage, if hacked he only sees the hash not the password)
Encyption correct answers Two-way function, (we encrypt with the purpose to decypt)
Technique to make sure that the message is not read by anyone else
True or false: Cryptographic hashing is NOT encryption correct answers True
Cyptography correct answers Science of transmitting messages and transactions securely against 3rd party advisories, you do this with encypting and decypting them (Symetic and Asymetirc Keys)
Ideal Hasing function correct answers -Deterministic
-easy to compute but not decrypt
-collision resistant
-fast, but not too fast(or a brute force attack would be feasible)
Brute Force correct answers Trying all the possible ways to crack a code Types of Hash Attacks correct answers Collision attack: means designing a method that finds two texts with the same hash (any hash).•Pre-image attack: means designing a method that, given
a specific target hash, finds a text that generates the hash.
Pre-image is more difficult than collsion
Hashing is used to confirm ... correct answers that a file was not corrupted, and for message authentication, ONE WAY it should be impossibe to retireve the plaintext from a hash
Types of Encyption Algotrims correct answers 1.Symmetric Key Encryption: A common secret key is exchanged between the sender and the receiver.
2.Asymmetric (Public) Key Encryption: Only the receiver has the key to decipher the ciphertext.
•RSA•Elliptic Curve Cryptography
Symmetric key algorithms are best used for: correct answers 2 party transactions (like banks) but
not in networks (like blockchain)
Why?: -How do you safely share a common key
-problem with common secret keys is that we need a key for each pair of players. With n users in
a network, we need O( 𝑛2) common keys.
asymetric key encryption correct answers ONLY the receiver has the key to decipher the text
Differnces in Asymetric vs Symetirc correct answers Main advantage in Asymetric key is that every user needs to only have one public key
Steps in Asymetirc Key Encyption correct answers The main intuition of asymmetric key encryption is the following:
1.The receiver creates a lock(public key)and a key(Private Key)that opens the lock.
2.The receiver sends the lock to the sender.
3.The sender uses the lock to encrypt the plaintext, and sends the ciphertextto the receiver.
4.The receiver decrypt the ciphertextusing the key.
There is only one public key and one private key
How does bitcoin ensure a transaxtion is secure and prevent double spendign correct answers Elliptic Curve Cryptography
How could you retrive the orginal message with a hash algorith correct answers Brute Force
Can you back enginer a hash correct answers NO
Bitcoin uses ___key encyption correct answers Asymetric
Three Steps to make a secure Bitcoin Transactio correct answers The receiver of bitcoin creates a
pair of private and public keys
Supervised Learning correct answers Uses a precise rule to predict outcome
Ex: Regression Random Forrest
(Predict stock returns)
Unsupervised Learning correct answers Uncovers relationships/commonalties/patterns between variables without a model/structure
(What stocks are similar to each other)
Deep Learning correct answers Mimicking how the brain works, uses multi-layered neural network
(Detect investor sentiment using social media)
Ex; time series (nerual nets)
Fin-tech: correct answers Use of technology and analytics to lower frictions in financial servies
Hashing correct answers -One-way encryption
-Allows us to verify that the content of the message has not been altered, and comes from the right sender
-a crypto system to tranform an text of any length into (almsot) irreversible fixed-length string of
numbers and letters
-Hashing is not random. Every time you input as plaintext the same text, the same hash is produced.
-websites dont keep passwords they keep hashes(they compare the hash of what you typed to the hash they have in storage, if hacked he only sees the hash not the password)
Encyption correct answers Two-way function, (we encrypt with the purpose to decypt)
Technique to make sure that the message is not read by anyone else
True or false: Cryptographic hashing is NOT encryption correct answers True
Cyptography correct answers Science of transmitting messages and transactions securely against 3rd party advisories, you do this with encypting and decypting them (Symetic and Asymetirc Keys)
Ideal Hasing function correct answers -Deterministic
-easy to compute but not decrypt
-collision resistant
-fast, but not too fast(or a brute force attack would be feasible)
Brute Force correct answers Trying all the possible ways to crack a code Types of Hash Attacks correct answers Collision attack: means designing a method that finds two texts with the same hash (any hash).•Pre-image attack: means designing a method that, given
a specific target hash, finds a text that generates the hash.
Pre-image is more difficult than collsion
Hashing is used to confirm ... correct answers that a file was not corrupted, and for message authentication, ONE WAY it should be impossibe to retireve the plaintext from a hash
Types of Encyption Algotrims correct answers 1.Symmetric Key Encryption: A common secret key is exchanged between the sender and the receiver.
2.Asymmetric (Public) Key Encryption: Only the receiver has the key to decipher the ciphertext.
•RSA•Elliptic Curve Cryptography
Symmetric key algorithms are best used for: correct answers 2 party transactions (like banks) but
not in networks (like blockchain)
Why?: -How do you safely share a common key
-problem with common secret keys is that we need a key for each pair of players. With n users in
a network, we need O( 𝑛2) common keys.
asymetric key encryption correct answers ONLY the receiver has the key to decipher the text
Differnces in Asymetric vs Symetirc correct answers Main advantage in Asymetric key is that every user needs to only have one public key
Steps in Asymetirc Key Encyption correct answers The main intuition of asymmetric key encryption is the following:
1.The receiver creates a lock(public key)and a key(Private Key)that opens the lock.
2.The receiver sends the lock to the sender.
3.The sender uses the lock to encrypt the plaintext, and sends the ciphertextto the receiver.
4.The receiver decrypt the ciphertextusing the key.
There is only one public key and one private key
How does bitcoin ensure a transaxtion is secure and prevent double spendign correct answers Elliptic Curve Cryptography
How could you retrive the orginal message with a hash algorith correct answers Brute Force
Can you back enginer a hash correct answers NO
Bitcoin uses ___key encyption correct answers Asymetric
Three Steps to make a secure Bitcoin Transactio correct answers The receiver of bitcoin creates a
pair of private and public keys
