Comprehensive Quiz - XRP Ledger

What is a smart contract?

A) A digital contract that executes automatically when certain conditions are met

B) A physical contract that is signed by more than two parties

C) A digital contract that is signed by more than two parties

What is the order book?

A) A list of all current bids and asks for each asset

B) A recommendation of which assets to trade

C) A complete timeline of an asset's price history

What is the native currency of the XRPL?

A) XRPL

B) XRP

C) BTC

Who can see the XRPL code?

A) Anyone with an account on the XRPL

B) Only validator nodes

C) Anyone with an internet connection

How is data mutation different in web 3.0 applications?

A) It is immutable

B) There are no smart contracts

C) It is mutable

The URI of an NFToken is meant to store what information?

The website address of the creator of the token.

Any metadata associated with the token.

The address of the marketplace listing the token.

The IP address of the computer where the NFT was minted.

What makes the XRPL environmentally friendly?

A) It doesn't require mining

B) It's made of recycled materials

C) It runs on renewable energy

What is a use case for brokering an NFT transfer?

A) A marketplace that manages the sale of NFT’s for creators.

B) A curator who wants to organize NFT’s by type or price point.

C) An agent who works to buy and sell NFT’s, maximizing the sale price for creators.

D) All of the above

A TransferFee of 5000 denotes what fee?

A) 50%

B) 5%

C) 0.5%

D) 500%

Do you need smart contracts to create digital assets on the XRPL?

A) Yes

B) No

Which hook in the nice-xrpl library accepts an offer in an NFT transfer?

A) useAcceptSellOffer()

B) setSending(true);

C) const result = await acceptSellOffer(offerIndex);

D) useCreateSellOffer()

Which of the following statements best summarizes how we use trust lines?

A) When sending currency, a trust line must be created from the receiving/destination account to the sending/issuer account.

B) When sending currency, a trust line must be created from the sending/issuer account to the receiving/destination account.

C) After initiating a transaction with currency between two accounts, both accounts must approve a mutual trust line for the currency transaction to go through.

D) All of the above.

Do you need smart contracts to build on the XRPL?

A) Yes

B) No

What is a DEX?

A) A decentralized exchange that allows users to trade assets without having to send them to a centralized exchange

B) A cryptocurrency that is used as an intermediary asset to find the lowest transaction cost

C) An order book that lists all current bids and asks for each asset

What is the name for converting a physical asset into a digital token?

A) Tokenization

B) Fungibility

C) Blockchain

D) Cryptocurrency

How do AMMs work?

A) AMMs work by holding currency in order books, then the ledger randomizes a fair exchange rate between the different currencies.

B) AMMs work by pooling currency in liquidity pools, then algorithmically picking a fair exchange rate between the different currencies.

C) AMMs work by pooling currency in liquidity pools, then the AMM leadership group picks a fair exchange rate between the different currencies.

D) AMMs work by pooling currency in liquidity pools, then the AMM community votes on a fair exchange rate between the different currencies.

Why did the founders of the XRPL create it?

A) To provide liquidity to the market

B) To send crypto to friends and family

C) To provide a more sustainable, scalable and fast alternative to Bitcoin

Which hook in the nice-xrpl library is used to broker a buy and sell offer from a third-party?

A) acceptBrokeredOffer()

B) useAcceptBrokeredOffer()

C) setBuyOfferIndex(e.currentTarget.value)

D) setSellOfferIndex(e.currentTarget.value)

What is the order book?

A) A list of all current bids and asks for each asset

B) A recommendation of which assets to trade

C) A complete timeline of an asset's price history