Sw1 drops all traffic because there is no (S, G) OIF list to encapsulate VXLAN multicast packets and send them out to the underlay network through the uplink interfaces.

Sw1 performs the VXLAN multicast encapsulation and decapsulation for all traffic associated with the VXLAN VNIs.

Sw1 and Sw2 perform the VXLAN multicast encapsulation and decapsulation for all traffic associated with the VXLAN VNIs, depending on the hashing.

Sw2 does not send an IP PIM register to the rendezvous point for the multicast group of the VXLAN VNI.