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There could be several reasons why SetApprovalForAll is not functioning properly while attempting to transferFrom from a marketplace. Some of the possible reasons are:

  1. Incorrect Usage: The SetApprovalForAll function is used to grant approval to an operator for all tokens held by the owner. If it is not properly implemented, it may not function as intended.

  2. Insufficient Funds: The SetApprovalForAll function may not work if the owner of the tokens does not have sufficient funds to make a transfer. In such cases, the transfer will fail, and the SetApprovalForAll function will not be executed.

  3. Incorrect Data Types: The data types used in the function call may be incorrect. This can cause the function to fail and prevent the transfer from occurring.

  4. Contract Interactions: If the contract interactions are not properly coded, there may be some errors in the process. This can often lead to a failure in the SetApprovalForAll function.

  5. Contract Compatibility: Sometimes, different contracts and tokens may not be compatible with the SetApprovalForAll function. In such cases, alternative approaches may need to be used.

Analyzing the specific issue and troubleshooting it using relevant tools is the best approach to overcome the issue.