Tokenization of Assets and NFT-Based Business Models BBLC Practice Questions (Page 11)

Questions 51–52

1. 51foundation · easy

   Which technology platform is commonly used to create and manage tokenized assets?

   • AEmail encryption software
   • BEthereum blockchain with smart contracts
   • CTraditional banking database
   • DCloud storage service
   Reveal Solution Discussion Select an answer first
2. 52expert · hard

   A startup wants to tokenize a portfolio of music royalties. The founders want to raise capital by selling tokens that represent a share of future royalty streams. They also want to ensure compliance with securities regulations. The legal team advises that the tokens are likely securities. What is the most appropriate approach to proceed?

   • ALimit the token sale to non-US investors to avoid US securities laws
   • BIssue the tokens on a decentralized exchange to avoid securities regulation
   • CStructure the tokens as utility tokens that also pay royalties
   • DRegister the offering with the relevant securities regulator or qualify for an exemption, then issue the tokens
   Reveal Solution Discussion Select an answer first