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Test: Information Technology - 2 - UPSC MCQ


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10 Questions MCQ Test - Test: Information Technology - 2

Test: Information Technology - 2 for UPSC 2024 is part of UPSC preparation. The Test: Information Technology - 2 questions and answers have been prepared according to the UPSC exam syllabus.The Test: Information Technology - 2 MCQs are made for UPSC 2024 Exam. Find important definitions, questions, notes, meanings, examples, exercises, MCQs and online tests for Test: Information Technology - 2 below.
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Test: Information Technology - 2 - Question 1

What is the primary advantage of Quantum Key Distribution (QKD) over traditional encryption methods?

Detailed Solution for Test: Information Technology - 2 - Question 1
The primary advantage of Quantum Key Distribution (QKD) over traditional encryption methods is that it uses the unique properties of quantum particles, such as photons, to establish secure communication channels. Photons offer a higher level of security as they cannot be perfectly copied, and any attempt to measure them will inevitably disturb them, making QKD encryption practically unbreakable.
Test: Information Technology - 2 - Question 2

What is the primary benefit of Central Bank Digital Currency (CBDC) in terms of currency management?

Detailed Solution for Test: Information Technology - 2 - Question 2
The primary benefit of Central Bank Digital Currency (CBDC) is that it reduces the cost associated with physical currency management. CBDC eliminates the need for printing physical currency and storing coins, which can be expensive and cumbersome.
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Test: Information Technology - 2 - Question 3

What encryption technique is used with the secret key generated through Quantum Key Distribution (QKD)?

Detailed Solution for Test: Information Technology - 2 - Question 3
The secret key generated through Quantum Key Distribution (QKD) is used with the one-time pad encryption technique, which is known for its exceptional security. One-time pad encryption uses a truly random key that is as long as the message being encrypted, making it highly secure.
Test: Information Technology - 2 - Question 4
How does Quantum Key Distribution (QKD) enhance cybersecurity?
Detailed Solution for Test: Information Technology - 2 - Question 4
Quantum Key Distribution (QKD) enhances cybersecurity by offering a highly secure method of data encryption. It can protect sensitive information from hacking attempts because of its virtually unhackable nature, based on the fundamental properties of quantum particles.
Test: Information Technology - 2 - Question 5
What type of payments does CBDC enable in real-time?
Detailed Solution for Test: Information Technology - 2 - Question 5
Central Bank Digital Currency (CBDC) enables real-time inter-bank settlements, allowing transactions to occur instantly without delays. This can streamline financial transactions and improve efficiency in the banking system.
Test: Information Technology - 2 - Question 6
What did the SC Garg Committee recommend regarding cryptocurrencies in India?
Detailed Solution for Test: Information Technology - 2 - Question 6
The SC Garg Committee recommended a ban on holding, transacting, or dealing with cryptocurrencies in any form, as mentioned in the text. It proposed penalties, including jail terms and monetary fines, for engaging in cryptocurrency exchange or trading.
Test: Information Technology - 2 - Question 7
What potential challenge is associated with the implementation of Central Bank Digital Currency (CBDC)?
Detailed Solution for Test: Information Technology - 2 - Question 7
One potential challenge associated with the implementation of Central Bank Digital Currency (CBDC) is the decreased digital literacy among a significant portion of the population. This lack of digital literacy could hinder the adoption and use of CBDC.
Test: Information Technology - 2 - Question 8
Why might the implementation of CBDC expose the financial system to cybersecurity threats?
Detailed Solution for Test: Information Technology - 2 - Question 8
The implementation of Central Bank Digital Currency (CBDC) could expose the financial system to cybersecurity threats because it introduces digital transactions that could be targeted by cyberattacks. This is a concern that needs to be addressed to ensure the security of CBDC.
Test: Information Technology - 2 - Question 9
What is the significance of the open-minded approach suggested by the SC Garg Committee regarding CBDC issuance?
Detailed Solution for Test: Information Technology - 2 - Question 9
The open-minded approach suggested by the SC Garg Committee regarding CBDC issuance allows the government to issue Central Bank Digital Currency (CBDC) through the Reserve Bank of India (RBI), as mentioned in the text.
Test: Information Technology - 2 - Question 10
What privacy concern is associated with CBDC implementation?
Detailed Solution for Test: Information Technology - 2 - Question 10
One privacy concern associated with CBDC implementation is the collection of basic individual information for verification purposes. This raises concerns about how personal data is handled and used in the context of CBDC transactions.
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