Practice Test Geeks(CCE) Certified Cryptocurrency Expert Practice Test
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NFTs, Tokenization, and Digital Assets Flashcards

6 cards from real CCE practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

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  1. What is a security token offering (STO)?

    Answer: A regulated digital token offering that represents ownership in an underlying asset and is subject to securities law

    STOs issue blockchain-based tokens that are classified as securities, subjecting them to SEC or equivalent regulatory oversight and offering investors legal ownership rights.

  2. What is the ERC-1155 token standard?

    Answer: A multi-token standard that allows a single contract to manage both fungible and non-fungible tokens

    ERC-1155 is a flexible Ethereum standard enabling a single smart contract to represent multiple token types (fungible, non-fungible, or semi-fungible), reducing deployment costs.

  3. In the context of NFTs, what is 'minting'?

    Answer: The act of creating and publishing an NFT on the blockchain by recording it in a smart contract

    Minting an NFT means deploying a transaction that creates a unique token record on-chain, assigning it an ID and linking it to its metadata for the first time.

  4. What is fractional NFT ownership?

    Answer: Dividing a single NFT into multiple fungible tokens so many investors can own a share

    Fractional NFT ownership protocols lock an NFT in a smart contract and issue ERC-20 tokens representing percentage shares, democratizing access to high-value NFTs.

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

    Answer: Utility tokens provide access to a product or service, while security tokens represent an investment contract with an expectation of profit

    The Howey Test is used in the US to determine if a token is a security — if holders expect profits primarily from others' efforts, it is classified as a security token.

  6. What is a 'floor price' in an NFT collection?

    Answer: The lowest listed price for any NFT in a collection on a secondary marketplace

    Floor price is the cheapest available entry point into an NFT collection on the secondary market, commonly used as a proxy for the collection's overall demand and value.