Types of Tokens and Digital Assets BBLC Practice Questions (Page 9)

Questions 41–43

1. 41foundation · easy

   In a decentralized finance protocol, token holders can propose and vote on changes to the protocol's parameters. What type of token grants this ability?

   • ASecurity token
   • BGovernance token
   • CUtility token
   • DPayment token
   Reveal Solution Discussion Select an answer first
2. 42application · medium

   A remittance company wants to offer a digital currency for cross-border payments that minimizes price volatility for users. The company is considering issuing a token backed by a reserve of fiat currency. Which token type and design best meets this need?

   • AA payment token that is an asset-backed stablecoin, pegged 1:1 to a fiat currency
   • BA governance token that allows holders to vote on remittance fees
   • CA security token representing shares in the remittance company
   • DA utility token that grants access to the remittance platform
   Reveal Solution Discussion Select an answer first
3. 43application · medium

   A company wants to tokenize a portfolio of gold bullion, allowing investors to trade digital tokens that each represent a specific quantity of physical gold stored in a vault. The tokens should be redeemable for the underlying metal. Which token type is most appropriate?

   • AGovernance token, because holders can vote on vault management.
   • BAsset-backed token, with each token representing a claim on a specific amount of gold.
   • CNon-fungible token, because each gram of gold is unique.
   • DUtility token, because it provides access to the gold market.
   Reveal Solution Discussion Select an answer first