A nested contract call occurs when one smart contract calls another smart contract, which in turn calls yet another contract. This creates multiple layers of interactions between contracts, enabling complex workflows and functionality.In practical terms, when a user interacts with a primary contract, it might need to trigger various actions. For instance, it can call a secondary contract to manage a specific function, and that contract might call a third one to perform another task or retrieve data. This mechanism allows for extensive programmability, facilitating sophisticated applications like decentralized finance, gaming, and NFT platforms. However, it can also introduce challenges, such as increased gas costs and potential security vulnerabilities, as each call adds complexity to the interactions and requires careful management of resources and permissions.Developers must ensure that nested calls are efficient and secure to avoid pitfalls, especially with multiple contracts potentially relying on each other’s states and functionalities.