Canon Man Tutorial: Hierarchical Instanced Static Meshes - July 26th - Live from Epic HQ

Can someone explain to me how they connected the collisions/overlaps to the individual blocks in order to destroy them??

Are collision shapes seperated into individual actors/components per block, while only the renedring is done “instanced”?

Or do they use a mathematical approach that only works when you have a regular grid?

Or is there actually a way to know the index of the instance for a collision of an ISMC ??