Any comments on this anyone? Besides, the above statement is not quite correct since the BuildEntityButton creates the invisible reference entity. From the documentation
It is marked as invisible, until the button gets pressed. Thus it is important to set a button size, so the internal MouseArea knows when the entity dragging should start. It then activates the colliders and reports whether the dragged position is available based on the collider information.
It appears to me that the collider is always active which can also be seen in the QML renderer.