A logistics company wants to digitize the ownership of shipping containers on a blockchain. Each container has a unique ID and can be transferred between parties. The company also wants to track the container's location and condition. Which approach best fits this use case?

Create an ERC-20 token for each container type, with the balance representing the number of containers.

Create an ERC-721 token for each container and link the token metadata to an off-chain IoT data feed.

Use a private database and only record a hash on the blockchain.

Store all container data directly on-chain in the token metadata.

A startup wants to tokenize gold bars stored in a vault. Each token will represent a claim on a specific physical bar. What is the first step in the tokenization process?

Create a legal entity to hold the gold and issue tokens representing claims

List the tokens on a cryptocurrency exchange

Mint all tokens and distribute them to investors

Deploy an ERC-20 contract with a fixed supply

What is the first step in the tokenization process of a real-world asset?

Identifying the asset and defining its rights and ownership structure.

Listing the token on a cryptocurrency exchange.

Minting the tokens and distributing them to investors.

Deploying a smart contract on the blockchain.

Which of the following is an example of a tokenized real-world asset?

A digital token that represents ownership of a specific piece of real estate.

A cryptocurrency like Bitcoin that is used for peer-to-peer payments.

A utility token that provides access to a cloud storage service.

A governance token that grants voting rights in a decentralized protocol.

EC-CouncilBlockchain Developer Certification

Domain 4Objective 4

Types of Tokens and Digital Assets BDC Practice Questions (Page 6)

Part of the Cryptomining, Tokenization, and Digital Assets domain, which makes up ~10% of our current practice bank.

36questions here

8free pages

6concepts

Questions 26–30

26application · medium
A logistics company wants to digitize the ownership of shipping containers on a blockchain. Each container has a unique ID and can be transferred between parties. The company also wants to track the container's location and condition. Which approach best fits this use case?
Select an answer first
27application · medium
A startup wants to tokenize gold bars stored in a vault. Each token will represent a claim on a specific physical bar. What is the first step in the tokenization process?
Select an answer first
28foundation · easy
What is the first step in the tokenization process of a real-world asset?
Select an answer first
29foundation · easy
Which of the following is an example of a tokenized real-world asset?
Select an answer first
30application · medium
A gaming studio wants to create a digital collectible that represents a unique in-game sword, with each sword having distinct attributes and a limited edition of 100 copies. Players should be able to trade these swords freely, and the studio wants to ensure each sword's ownership history is verifiable. Which token standard should the studio use?
Select an answer first

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