Use and Management of Cookies
We use cookies and other similar technologies on our website to enhance your browsing experience. For more information, please visit our Cookies Notice.
Use and Management of Cookies
We use cookies and other similar technologies on our website to enhance your browsing experience. For more information, please visit our Cookies Notice.
What are digital assets?
During the past 1-2 years, the trend investment in "Digital Asset" has gained popularity and has a lot of people interested in investing. Because it is believed that it can generate high returns in a short time. But because it is a new investment asset making it necessary to understand carefully before investing.
In the past, investors still understood that digital assets were digital currencies well known Cryptocurrency. But in fact, digital assets not limited to digital currency only also means digital coins (Cryptotoken), also known as digital tokens, as well as other digital products and services.
There are 2 types of digital assets that are known in Thailand:
1. cryptocurrency
cryptocurrency Is an electronic data unit created to serve as a medium for exchanging goods, services, other digital assets or any other rights which can be used as a medium for exchanging products and services if users accept. Currently, Crypto Currents is not the money that any central bank in the world can guarantee that it can be used to pay debts according to the law (Legal Tender). Crypto Currents, which Thai people are familiar with, including Bitcoin and Ethereum. Which are important factors that make both digital money popular because investors can use a small amount of investment, have a trading system that is easy to understand. At the same time, some shops accept to be able to buy products instead of cash.
2. Digital Token
Digital tokens are electronic data units that are created to determine the investment Token or the right to acquire products and services or other rights (Utility Token). As agreed with the Token issuer which may offer tokens through the Initial Coin Offering (ICO) process.
ICO funding is a type of fundraising that uses blockchain technology to help.
Which the company will offer and determine the sale of tokens that determine the rights or benefits of investors. Such as share of profits from projects or the right to acquire specific products or services and require investors who wish to participate in the investment. By bringing Cripple Curran or money Come to exchange the tokens that the company issued by assigning and enforcing the right to receive with Smart Contract on Blockchain technology.
ICO may not be stock and not a debt, even though the ICO is like the initial public offering (IPO). But may have a very different essence by holders of tokens from investing in ICO. May not be the owner of the company like an IPO shareholder and may not be a creditor of the company, may not have property rights of the company, in case of dissolution or bankruptcy but the token holder will have the rights as specified in the White Paper.
During the period of strong digital asset investment causing more people to raise funds by issuing ICO and starting to persuade people to invest in ICO and Crypto Currencies. However, it is new in Thailand and is a high-risk investment asset, if not fully understood, it may cause damage.
For this reason, if interested in investing in digital assets must study thoroughly before making a decision. It is important that to invest with the Digital Asset Exchange, the Digital Asset Broker and the Digital Asset Dealer, which has been approved by the SEC only
( www.sec.or.th/mpublish/digitalasset/digitalasset.html)
If investing in Cryptocurrency with companies that are licensed will be confident that the service will be standardized and reduce the risk of being tricked into investing (Scam). Same as, if investing in a token with a company that is licensed will be confident that the Smart Contract is validated by ICO Portal that corresponds to White Paper and reduces the risk of being deceived.
But if the investor is persuaded to invest in digital assets from a company that is not authorized by the SEC, if it is damaged, will not receive any protection in any case
How to see if the company has standards or not, should see if there is enough funding sources, security and risk management of theft can be verified, including anti-money laundering measures, etc.
Once verified and found that there is a standard, investors then must go to that company's website to study details and read the information completely. Then register according to the steps before investing. If they are familiar with investing in stocks will find that the screen is similar, such as the digital currency list latest trading price, trading amount, highest / lowest price per day Including other information such as fees, analysis, etc.
"High return, high risk" can be used for investment in digital assets as well. And because it is a new matter for Thai investors, you must have to study, find the information thoroughly. Importantly, the news from the SEC must be followed continuously. Persuasion from those who do not hope to go into trading until it can cause damage. Therefore, should look at the risk before investing.
1. Don't be greedy
Don't be greedy, in the case that Thai people are deceived into investing in digital assets, then they are damaged until the prosecution. One important factor is due to the greed that requires high returns in a short time without studying the information about what assets to invest in and
2.High failure opportunity
High failure opportunity, because digital assets are part of the Startup business, so there is a high chance of failure. If interested in investing, they must accept such risks as well. Or in other words, there is no guarantee of success or return.
3.No protection
if it is an investment in digital assets with a company registered in Thailand and is licensed by the SEC, investors will receive a certain level of value. But if transferring money to invest abroad will not receive any protection.
4.No liquidity
Because digital assets are new, and investors prefer to invest in certain types of assets, making it difficult to trade. Therefore, if buying and selling, it may take a long time. Which may not be as planned. In addition, the daily trading price is highly volatile. When investing, must have enough time to follow.
5.Hacked
Hacked, because the investment in digital assets is purely technological, so there is always an opportunity to be attacked (Hack). Investors must learn how to protect their accounts, including when being attacked and must know how to survive
Although digital assets are attractive investment assets but is still considered a new investment for Thai investors. Therefore, before making an investment decision, must study thoroughly. Should use the model investment method, such as trading experiments through writing on the book. After a period, summarize the results. When understood can start with a small amount of investment. If thinking that it is an asset that is suitable for your own investment style, then gradually add more money