Representations of cryptocurrencies Bitcoin, Ethereum, DogeCoin, Ripple and Litecoin on a PC motherboard in an illustration taken on June 29. REUTERS The rapid development of the digital world does not only make life easier for people to communicate, work and run a business, but also opens the door to a new investment frontier — digital assets.
The world has encountered a variety of buzzwords over recent years, such as cryptocurrency, non-fungible token (NFT), decentralised finance (DeFi) and metaverse, as the digital world has been getting into full swing.
A number of major companies are getting involved in digital assets in various ways, such as investing in digital asset exchanges, rolling out digital coins and holding cryptocurrencies in the hope of future gains.
Many individuals are also excited by the skyrocketing prices of major cryptocurrencies, such as Bitcoin and Ethereum, and have started to invest in them.
No one knows to what extent this digital world could expand to but it is becoming clear that the line between the physical and digital space is becoming increasingly blurry over time.
Since no one is able to turn back the clock, digital assets are expected to be increasingly important to support various activities in the digital sphere for years to come.
STEADY FUTURE
With the entry of various shining digital assets, the traditional capital markets feel the need to digitalise and revitalise their product offerings to attract young investors but are also certain they will remain the main sources of fundraising with their decades-long influence and role in the investment market.
According to Monsak Socharoentum, vice-president of the government data solutions and collateralized debt obligation at Digital Government Agency (DGA), the global stock markets still manage to maintain their popularity among Gen X or Gen Y investors as the main sources of fundraising for many major technology companies, including Facebook, Google, Apple and Microsoft.
The long-established stability and trust between the stock markets and investors have cemented the traditional markets’ role as the main sources for funding even in the increasingly digitalised world.
Pakorn Peetathawatchai president of the Stock Exchange of Thailand (SET), said the SET has also studied the feasibility of listing asset-backed digital token products on the bourse but he still believes that the capital markets will remain the main source of fundraising for companies and be able to maintain their integral role in driving the world economy for a long time.
Crypto experts state that NFT has a bright future and the metaverse — the shared virtual environments which people can access via the internet — will connect and transform the real and virtual worlds and create huge added value for the economy in the future.
Jirayut Srupsrisopa, founder and chief executive of Bitkub Capital Group Holdings, said the market value of digital assets or cryptocurrencies has now edged near $3 trillion and people around the world as well as Thai traders are actively investing in cryptocurrencies and participating in the market.
He said NFT will change the world of investment over the next 10 years as it will be linked to the metaverse which will serve as a key infrastructure.
Moreover, digital currencies will become a mainstream form of payment for goods and services in the future as people will be able to make transactions not only through smartphones but also other smart devices such as watches and glasses as payment technologies improve, said Mr Jirayut.
He said the increasing importance of digital currency can be exemplified in the Bank of Thailand’s plan to issue a central bank digital currency (CBDC), which is expected to be tested and used with commercial banks next year.
Poramin Insom, the founder and director of Satang Pro, said cryptocurrency prices will continue to rise if no unexpected events occur, but investors should invest cautiously, while NFT is still at the nascent stage with many opportunities for development and growth.
Akalarp Yimwilai, chief executive and co-founder of Zipmex Thailand, said cryptocurrency has increasingly been embraced by both domestic and international institutional investors.
He is not certain the Bitcoin price will continue to make gains and hit $100,000 from its current value of around $60,000 but believes that anything is possible.However, if the price continues to surge and everyone has made profits, investors need to be careful as there may be a correction.As for NFT, he believes the asset will become useful in daily activities such as gaming, especially now that it has been applied to Facebook’s metaverse.”NFT and GameFi will play a bigger role in the next 1-2 years, and they will also be part of the metaverse. Although […]
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