The Securities and Exchange Commission of Thailand has officially licensed the startup Fraction, which specializes in initial token offerings based on Ethereum . A division of the Hong Kong financial firm Fraction Group has received permission to list and trade tokens for partial ownership of physical or digital assets.
And this is not the only example of the popularization of digital assets and platforms with their use in the world in recent years.
Another victory for the crypto market
The license was granted through the official portal of the Thai SEC for an initial coin offering back in 2018. The license lays the foundation for Fraction’s future digitization and asset unbundling service called an Initial Offering of Interest (IFO) .
The company plans to host the first IFOs by subscription in the first quarter of 2022, focusing on real estate tokens in partnership with local firms. Fraction is also considering an IFO worth over $ 460 million, according to Cointelegraph .
Here’s what Fraction co-founder and CEO Ekapak Nirapatpongporn said about the matter.
Now you can legally own, for example, part of a villa instead of having to fork out $ 5 million to buy an entire property.
Accordingly, in this way, investors will be able to earn on the growth of assets, while owning relatively little capital. Moreover, all this will be provided by the Ethereum blockchain, which is already the most popular place for smart contracts, unique NFT tokens and applications from the field of decentralized finance.
The principle of earning income at the expense of IFO is simple: an investor invests money in a part of a physical or digital asset in order to then be able to earn on the dynamics of its price. That is, having bought a share in real estate, an investor with a much lower entry threshold can make money on the potential increase in its value.
Another initiative launched recently is the PleasrFund, a decentralized charity fund created by the American publication Fortune in collaboration with NFT artist Pplpleasr. The launch took place through cooperation with the decentralized autonomous organization Endaoment, at the moment the fund already has 214.55 ETH with a total value of about 660 thousand dollars.
Note that this format of decentralization in charity is very successful – the fund is available for donations from anyone who is ready to pay with cryptocurrency or through PayPal , while the accumulated funds will be distributed according to new programs in the field of journalism. It will be up to the decentralized community to decide who gets the money.
Against the background of the positive developments, the American financier and founder of Skybridge Capital Anthony Scaramucci, who is betting heavily on the promising future of Bitcoin, added to the sphere . The day before, he said that the main crypto asset may well become a reserve currency for the whole world, that is , Bitcoin has a chance to squeeze the dollar’s status in the international arena .
According to CryptoPotato , Scaramucci does not consider the high volatility of the BTC price to be anything unique. He emphasized that cryptocurrency can be compared to such promising investments as Amazon at the dawn of their development. Here is an expert quote.
Bitcoin is volatile because it is in its early stages of adoption. Amazon stock was like that about 24 years ago. But if you invested $ 10,000 in a company’s IPO in 1997, you would now have $ 21 million.
Scaramucci has long been positive about Bitcoin. In March of this year, he already compared the main cryptocurrency with Amazon stocks and stated that BTC is in many ways better than gold , which is considered an ideal investment in the event of a new global economic crisis.
The financier also added that Bitcoin is not only a currency. In fact, it is an efficient financial network and monetary standard. According to him, the most important advantage of an asset is its decentralization .
Bitcoin is decentralized. Financial instruments work much better when they can be influenced by people, not just governments.
In addition to Bitcoin, Scaramucci also called Ethereum and several other cryptocurrencies a profitable investment for the future. However, he did not forget to remind that for any investor the process of researching the advantages and disadvantages of an investment is indispensable before, in fact, the investment itself.
We believe that these events reflect the gradual popularization of cryptocurrencies and blockchain around the world. In addition, they once again remind of the unexplored application of this technology. In the future, as digital assets spread, all sorts of blockchain projects will appear in new areas, and their presence will be much more tangible. This is clearly worth the wait.