Preview Questions FinTech Specialist | Role Specific Skill

Question 1: Which of the following regulations mandates financial institutions to protect client data and provide mechanisms for data breach notifications?

Which action should you take?

Choose only one option

GDPR (General Data Protection Regulation)

HIPAA (Health Insurance Portability and Accountability Act)

PCI DSS (Payment Card Industry Data Security Standard)

Sarbanes-Oxley Act

Question 2: What is the primary benefit of using homomorphic encryption in financial services?

Which action should you take?

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It eliminates the need for multi-factor authentication

It reduces the computational load for encryption

It enhances user privacy by preventing data exposure

It allows encryption of data without needing decryption

Question 3: How does a zero-knowledge proof (ZKP) contribute to blockchain applications in BFSI?

Which action should you take?

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By verifying public keys

By increasing transaction throughput

By hashing transaction data

By enabling secure and private transactions

Question 4: What is the key difference between AES and RSA encryption methods in terms of data security?

Which action should you take?

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AES is symmetric encryption, while RSA is asymmetric

AES is designed for message authentication, while RSA is for confidentiality

AES uses longer key lengths than RSA

AES is slower than RSA

Question 5: What is the role of multi-factor authentication (MFA) in securing digital payment systems?

Which action should you take?

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To encrypt the payment data during the transaction

To generate unique transaction codes for each payment

To verify the identity of the user with multiple credentials

To authenticate the payment through biometric verification

Question 6: To establish interoperability between a blockchain-based remittance network and legacy banking systems' APIs, which standard or approach can facilitate seamless integration and message translation without undermining the blockchain's integrity?

Which action should you take?

Choose only one option

Directly exposing the blockchain's internal data structures to legacy systems

Using ISO 20022 or similar standard messaging frameworks with middleware bridges that can map blockchain transactions to legacy formats and vice versa

Hardcoding bespoke XML converters in the smart contract layer

Manually exporting CSV files from the blockchain and importing into legacy systems