Advanced NFT Mechanics Flashcards

What is a key reason marketplaces struggle to enforce ERC-2981 royalties?

Answer: ERC-2981 only signals royalties; enforcement is voluntary

ERC-2981 specifies royalty info but does not enforce payment, so marketplaces may choose to ignore it.

What is the purpose of an on-chain royalty enforcement registry like an operator filter?

Answer: Block transfers via marketplaces that skip royalties

Operator filters restrict transfers to approved marketplaces that honor royalties.

In ERC-1155, what does a single contract uniquely allow that ERC-721 does not natively?

Answer: Both fungible and non-fungible tokens in one contract

ERC-1155 supports multiple token types—fungible and non-fungible—within one contract.

Why might dynamic NFTs use a Chainlink oracle?

Answer: To update metadata based on real-world data

Oracles feed external data on-chain so an NFT's traits or metadata can change in response to real-world events.

What is the main security concern with an upgradeable NFT contract using a proxy?

Answer: A compromised admin can change logic, including transfers and ownership

Upgradeability concentrates power in the admin/upgrade key, which if compromised can alter contract behavior.

What does burning an NFT accomplish?

Answer: Permanently removes it by sending to an unrecoverable address or deleting it

Burning destroys a token, typically by transferring to the zero address or deleting its ownership record.

Why is gas-efficient ERC721A used for large PFP collections?

Answer: It optimizes batch minting to reduce per-token gas

ERC721A optimizes minting multiple tokens in one transaction, cutting gas costs for large mints.