CBSA Tokenization & Digital Assets

Question 1

Which ERC token standard is used for non-fungible tokens (NFTs) on Ethereum?

Accepted Answer

ERC-721

Answer

ERC-20

Answer

ERC-1155

Answer

ERC-777

Question 2

What is the primary difference between a utility token and a security token?

Accepted Answer

Utility tokens provide access to a product or service; security tokens represent an investment contract

Answer

Utility tokens are always on Ethereum; security tokens are on private chains

Answer

Utility tokens are fungible; security tokens are non-fungible

Answer

Utility tokens require KYC; security tokens do not

Question 3

Which token standard supports both fungible and non-fungible tokens in a single contract?

Accepted Answer

ERC-1155

Answer

ERC-20

Answer

ERC-721

Answer

ERC-223

Question 4

In the context of asset tokenization, what does fractional ownership mean?

Accepted Answer

Dividing a real-world asset into multiple digital tokens so multiple parties can own a share

Answer

Owning a partial copy of a smart contract

Answer

Splitting gas fees among token holders

Answer

Holding tokens across multiple blockchain networks

Question 5

What regulatory framework in the US classifies a digital asset as a security using the 'Howey Test'?

Accepted Answer

SEC Securities Act

Answer

CFTC Commodity Guidelines

Answer

FinCEN AML Rules

Answer

OCC Crypto Guidance

Question 6

Which mechanism allows token holders to redeem tokens for an underlying asset in a tokenized asset system?

Accepted Answer

Burning

Answer

Minting

Answer

Staking

Answer

Wrapping