FREE NFT Art NFT Security and Best Practices Questions and Answers

Question 1

An NFT's metadata links to an image stored on a private, company-owned server using a standard HTTPS URL. What is the primary security and longevity risk associated with this storage method?

Accepted Answer

The hosting company could alter the image or cease operations, leaving the NFT pointing to a dead or incorrect link.

Answer

The image file could be too large, increasing gas fees for the owner during transfers.

Answer

The blockchain could reject transactions involving the NFT if the server is offline.

Answer

The artist cannot receive royalties from secondary sales if the image is stored on a private server.

Question 2

For long-term, high-value storage of NFTs, which type of wallet provides the highest level of security against online threats like malware and phishing attacks?

Accepted Answer

A hardware wallet

Answer

A browser extension wallet

Answer

A custodial wallet on a centralized exchange

Answer

A mobile software wallet

Question 3

A collector receives a direct message on social media with a link to a "surprise mint" for a popular project. The website looks identical to the official one, but the URL is slightly different. The site prompts the user to connect their wallet and approve a transaction to claim the NFT. This scenario is a classic example of what type of attack?

Accepted Answer

A phishing attack

Answer

A re-entrancy attack

Answer

A 51% attack

Answer

A Sybil attack

Question 4

Which of the following is a critical best practice to protect against "rug pull" scams when considering minting from a new, unverified NFT project?

Accepted Answer

Checking for a verified smart contract on a block explorer and looking for suspicious code or a lack of transparency.

Answer

Minting the NFT using a wallet that holds the majority of your crypto assets.

Answer

Ensuring the project has a very large number of followers on social media.

Answer

Paying a higher gas fee to ensure the mint transaction processes quickly.

Question 5

When interacting with a new decentralized application, your wallet prompts you to approve a transaction but displays the data as a long, unreadable string of hexadecimal characters. Authorizing this transaction without being able to verify its contents is known as what?

Accepted Answer

Blind signing

Answer

A gasless signature

Answer

A re-entrancy approval

Answer

A metadata refresh

Question 6

A user interacts with a malicious NFT marketplace that tricks them into signing a 'SetApprovalForAll' transaction. What is the primary and most immediate danger of this specific action?

Accepted Answer

It grants the marketplace permission to transfer ALL NFTs from that specific collection out of the user's wallet at any time.

Answer

It allows the marketplace to see the user's private key.

Answer

It immediately sends all of the user's ETH to the marketplace's wallet.

Answer

It freezes the user's NFTs, making them untradeable on any platform.

An NFT's metadata links to an image stored on a private, company-owned server using a standard HTTPS URL.What is the primary security and longevity risk associated with this storage method?

An NFT's metadata links to an image stored on a private, company-owned server using a standard HTTPS URL.
What is the primary security and longevity risk associated with this storage method?