Is there an easier way to accomplish a dynamic drop down list?

[y_t]

If I want to create a dynamic drop down list that not only updates based on values in the list but also removes options once selected is there an easier way than what I have come up with down below? If you don't want to open the image or the file attached I just used a simple counter to see if the value has been used already in the first table, next to the value its self, and a second table utilizing small(if(value is unique, return the value of the unique value),row # -1)

Here is what I've come up with as an example but it seems that there must be a better way to do this. Preferably one without the need for a 'Unique' column. Ideally a method where only the initial table is needed- Table1.
test.png

Might this be something that I'd have to write my own function for?

[NBVC]

You can try this formula in D2:

=IFERROR(INDEX([Table1],SMALL(IF(ISNA(MATCH([Table1],Table3[Drop],0)),ROW(Table3[Drop])-MIN(ROW(Table3[Drop]))+1),ROWS($D$2:$D2))),"")

confirmed with CTRL+SHIFT+ENTER and copied down

Then change Data Validation reference to D2:D8