Thank you, these are all really interesting questions.
The InternalSignatureCollection is where we store the data that does the internal identification. The internal signatures themelves. However not all files are searchable by an internal signature. Some identify by extension. The InternalSignatureCollection is linked to the FileFormatCollection which is where every file format entry in PRONOM is stored. There is additional data that doesn't make it to the xml that is also stored for each file format entry on the actual website.
BOF and EOF stand for beginning of file and end of file. Therefore a BOF sequence is searching for a set of bytes from the beginning of the file and the EOF sequence starts looking at the end of file.
The best document to understand the PRONOM xml can be found here:
User Requirements (nationalarchives.gov.uk). The internal signature xml is automatically generated via our systems but important to note that the container signature xml is handwritten and created separately.
DROID does not have any conversion features.
Kind regards,
Francesca