Types of Tokens and Digital Assets BBLC Practice Questions (Page 7)

Questions 31–35

1. 31application · medium

   An e-commerce platform wants to accept a digital currency that is primarily used for fast, low-cost transactions and is not intended to represent ownership or access rights. Which token type should the platform integrate?

   • AA governance token that gives holders voting rights on platform fees
   • BA security token representing shares in the e-commerce company
   • CA payment token such as a stablecoin pegged to the local fiat currency
   • DA non-fungible token representing a unique digital collectible
   Reveal Solution Discussion Select an answer first
2. 32foundation · easy

   Which combination of factors is most important for driving the adoption of a token?

   • AA complex consensus algorithm and a large block size
   • BA large marketing budget and a celebrity endorsement
   • CClear utility and a fair distribution model
   • DA high token price and low transaction fees
   Reveal Solution Discussion Select an answer first
4. 33application · medium

   A startup is designing a token for its decentralized file-storage platform. Users must hold the token to pay for storage, and the team also wants to let token holders vote on storage pricing parameters. The legal team warns that the token must not be classified as a security. Which token design best aligns with these requirements?

   • AAn asset-backed token pegged to the US dollar, used for storage payments
   • BA utility token that grants access to storage services and includes governance voting rights
   • CA security token representing equity in the startup, with voting rights attached
   • DA payment token used only for transactions, with no governance features
   Reveal Solution Discussion Select an answer first
5. 34application · medium

   A decentralized lending protocol wants to let users propose and vote on changes to interest-rate models and collateral factors. The team wants to align voting power with users' economic stake in the protocol. Which token design best achieves this?

   • AUse a payment token for voting, since users already transact with it.
   • BRely on off-chain polling without a token.
   • CIssue a governance token that is distributed to users based on their lending and borrowing activity.
   • DCreate an NFT for each user to vote on proposals.
   Reveal Solution Discussion Select an answer first
6. 35expert · hard

   A protocol is planning a token launch. The team wants to avoid a situation where early investors dump their tokens and crash the price, while also ensuring the community has a meaningful role in governance. Which token distribution and vesting strategy is most effective?

   • ANo vesting for team and early investors, with all tokens distributed at launch
   • BA vesting schedule for the community only, with team tokens unlocked immediately
   • CA multi-year vesting schedule for team and early investors, with a community treasury governed by token holders
   • DA short vesting period of one month for all tokens, with no community treasury
   Reveal Solution Discussion Select an answer first