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Crypto a Good Way to Make Money for the Future? – Anndy Lian Explains on The Moneyverse Show

Crypto a Good Way to Make Money for the Future? – Anndy Lian Explains on The Moneyverse Show

In a recent episode of The Moneyverse Show, hosted by Andreas Vecchiet and co-hosted by global money expert Lionel Lee, the spotlight was on cryptocurrency as a potential avenue for future wealth. The guest of honor was Anndy Lian, a best-selling author, intergovernmental blockchain advisor, and early crypto advocate. With over a decade of experience in the crypto space, Lian shared his insights on the question: Is crypto a good way to make money for the future?

Here are the key highlights and takeaways from the conversation:

The Question: Is Crypto a Good Way to Make Money?
Lionel Lee, the show’s co-host, posed the viewer’s question to Lian, asking whether crypto is a viable way to generate wealth in the long term.

Lian’s response was nuanced, offering both optimism and caution. He began by explaining that the answer is both “yes and no,” depending on the individual’s approach, risk appetite, and understanding of the market.

Long-Term Investments in Crypto
Lian highlighted the importance of a long-term perspective when investing in cryptocurrency. He suggested that investors focus on the top 10, 20, or 30 cryptocurrencies listed on platforms like CoinMarketCap or CoinGecko. These coins, often referred to as “blue chips” in the crypto world, are more stable and less volatile compared to newer, lesser-known tokens.

“If you invest in the top cryptocurrencies for the long term, the returns can be stable and satisfactory,” Lian explained. He emphasized that while these investments are not without risk, they are comparable to traditional financial instruments in terms of stability.

He cited examples like XRP, which recently experienced a significant price surge. Investors who bought in at a low price could see returns as high as 5x. However, Lian cautioned that such opportunities require patience and a willingness to hold through market fluctuations.

The Appeal of Control in Crypto Investments
One of the key advantages of cryptocurrency, according to Lian, is the level of control it offers to investors. Unlike traditional investments managed by private bankers or financial institutions, crypto investments allow individuals to have full control over their assets.

“You control everything you’re trying to do,” Lian said, highlighting the decentralized nature of cryptocurrency. This autonomy is particularly appealing to investors who prefer to manage their own portfolios.

High-Risk, High-Reward Opportunities
For those with a higher risk appetite, Lian discussed the potential of investing in new and emerging cryptocurrencies. These tokens often experience rapid price increases shortly after their launch, offering the possibility of significant returns in a short period.

“If you’re willing to put in what you can afford to lose, say $1,000, and invest in new coins, you could potentially see a 10x return within a day or a week,” Lian explained. However, he cautioned that these investments are highly speculative and should only be pursued by those who understand the risks involved.

Balancing Risk and Reward
Lian stressed the importance of balancing risk and reward when investing in cryptocurrency. While blue-chip cryptocurrencies offer stability, newer tokens provide the allure of high returns. He advised investors to diversify their portfolios and only invest what they can afford to lose.

“It all comes down to the individual’s appetite for risk,” Lian said. He encouraged viewers to educate themselves about the market and make informed decisions.

The Future of Crypto as an Investment
When asked about the future of cryptocurrency as a way to make money, Lian expressed optimism. He believes that crypto will continue to be a viable investment option, especially as the market matures and more institutional players enter the space.

“The future for earning good money in crypto is definitely there,” Lian concluded. However, he reiterated the importance of a strategic approach and a long-term mindset.

Final Thoughts
The episode provided valuable insights into the world of cryptocurrency, with Anndy Lian offering a balanced perspective on its potential as an investment. While crypto can be a lucrative way to make money, it requires careful planning, risk management, and a willingness to learn.

For those new to the space, Lian’s advice is clear: start with blue-chip cryptocurrencies, focus on long-term gains, and only invest what you can afford to lose. For more adventurous investors, the high-risk, high-reward nature of new tokens can be enticing, but it’s crucial to proceed with caution.

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

www.anndy.com
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Is Asia on the Way to Becoming the Next Crypto Hub?

Is Asia on the Way to Becoming the Next Crypto Hub?

Asia seems to be standing at the forefront of the global cryptocurrency landscape and is headed to become the next crypto hub, with data revealing that central and southern Asia are leading regions in digital asset adoption.

With a number of key seminars taking place in South Korea, Singapore, and Hong Kong, the region is moving fast in establishing itself as a key player in the decentralized finance (DeFi) industry.

How is the region trying to achieve that?

Trade Volume in Asia Surges

ChainAnalysis’ 2023 crypto adaptation index showed central and southern Asia to be leading the way in crypto adaptation, with six of the top 10 countries being located in the region.

In addition, crypto trading volumes are also on the rise in the region, fuelled by market uncertainty in the West powered by the United States Securities and Exchange Commission (SEC) suing three major cryptocurrency exchanges earlier this year, it seems like most major players in the crypto space are moving East.

Anndy Lian, author of NFT: From Zero to Hero, explained:

“As US regulators sued three major crypto exchanges this year, billions of dollars of trading volumes have migrated to Asia. Investors and marketplaces are flocking to Singapore, Japan, South Korea, and more recently to Hong Kong, which introduced a new regulatory regime for crypto.”

Lian added that resilience in Asian crypto volumes is underpinned by institutional investors who view the regulatory environment in the region as less risky and more welcoming for DeFi firms.

Even though market activity has been stagnant, with global crypto adaption taking a hit, influenced by the collapse of FTX and the de-pegging of the TerraUST stablecoin, a number of lower-middle-income (LMI) category countries have been seeing a recovery in grassroots crypto adoption.

“Many of the top countries on our Global Crypto Adoption Index, from Central & Southern Asia to Africa, are in the LMI category, and taken together, LMI countries have seen the greatest recovery in grassroots crypto adoption over the last year. In fact, LMI is the only category of countries whose total grassroots adoption remains above where it was in Q3 2020, just before the most recent bull market,” research by ChainAnalysis revealed.

Asian Countries Are Embracing Cryptocurrencies

“In recent years, Asia has emerged as a hotbed for cryptocurrency innovation and adoption, sparking a growing debate over whether the continent is poised to become the next global crypto hub. With a dynamic blend of technological prowess, regulatory shifts, and a burgeoning interest in digital assets, Asia’s crypto journey is a captivating one to watch,” Rishi Vaidya, the co-founder and head of partnerships and marketing at Carbo-X Token and a recent speaker at the EDGE Global AI and Web3 Investment Summit in Hong Kong told Technopedia in an exclusive interview.

Overall, Asia has been populated with crypto events, including the Korea Blockchain Week at the start of September, Token2049 in Singapore in mid-September, and the Edge Summit in Hong Kong last week.

Token2049 has even made headlines as being the largest cryptocurrency event, sporting 300 exhibitors and 400 side events, and leading faces in the DeFi industry are drawn to the region thanks to its more lenient regulatory regime.

Singapore was the first country to agree on stablecoin regulation meanwhile, Hong Kong had decided to let retail investors trade digital assets while trading crypto in mainland China continues to stay illegal.

Karl Blomsterwall, the CEO of Planet IX and another speaker at the EDGE Summit, told Technopedia:

“Over the last couple of months, we have seen a push from Hong Kong to position itself in a favorable position to capture a larger share of the future crypto and blockchain market. It’s not surprising as the lack of regulatory clarity and commitment in other regions, such as the US, opens up for new entrants.”

Lian added that with so much uncertainty surrounding crypto regulation in the West, a number of major cryptocurrency exchanges have decided to shift their focus to the region, helping it “grow better and in a more stable manner”.

Asia to Become the Next Crypto Hub

Carbo-X Token’s Vaida, Asia’s fascination with cryptocurrencies, can be tracked to the early days of bitcoin (BTC). While the digital asset started as a speculative playground, it has managed to evolve into a more serious investment landscape, with a number of countries in the region embracing cryptocurrencies and establishing a strong foundation for several crypto businesses to flourish.

“China’s foray into the digital yuan and blockchain technology has added further weight to Asia’s crypto dominance. Asian nations have invested heavily in blockchain technology and cryptocurrency infrastructure. South Korea, for instance, has become a hotbed for blockchain startups, while Singapore is a global leader in fintech innovation. These advancements in technology are not just creating opportunities for local entrepreneurs but are also attracting international crypto giants.”

Vaida further noted that regulation will play a bigger role in determining whether Asia will manage to evolve into a crypto hub.

“Asian governments have been exploring various regulatory frameworks to balance innovation and security. Japan, known for its progressive approach, has introduced clear regulations for cryptocurrencies, instilling investor confidence.”

Lian added that Singapore’s proactive approach to regulating stablecoins has given the country a competitive edge in the crypto space, as it offered the region a clear and consistent legal framework for issuers and users of such digital assets.

He highlighted:

“By setting standards for anti-money laundering, consumer protection, and financial stability, Singapore has attracted many global players in the crypto industry, such as Binance, Coinbase, and Gemini, to set up their regional headquarters in the city-state. Singapore’s stablecoin regulation has also influenced other Asian countries, such as Japan, Thailand, and Malaysia, to adopt similar measures or to collaborate with Singapore on cross-border supervision and innovation. As a result, Asia has emerged as a leading region in the crypto markets, with high levels of adoption, liquidity, and innovation.”

Increased Adoption Plays a Major Role

“One of the driving forces behind Asia’s crypto boom is the increasing adoption of digital assets. In countries like India, where a massive population lacks access to traditional banking, cryptocurrencies offer a new financial frontier. Moreover, the younger generation in Asia is more receptive to digital currencies, which bodes well for long-term adoption,” Vaida said.

Planet IX’s Blomsterwall added that the blockchain industry tends to wield much of the world’s talent and is expected to grow massively over the next couple of years. Data found Singapore has the second highest number of crypto-related jobs relative to the country’s population, with 90.86 vacancies per million people, further pushing the region as a great pool for further crypto adoption.

Vaidya added:

“Asia’s crypto ecosystem is not limited to its own borders. International investors and crypto companies are actively seeking opportunities in the region. Silicon Valley giants are eyeing partnerships and investments in Asian startups, recognizing the potential of this market.”

Challenges Remain

Even though the region pushes itself as an emerging space for the DeFi industry, challenges remain.

Vaidya mentioned regulatory uncertainties, security concerns, and the need for cross-border collaboration as some of the most critical factors many nations in the region must still consider.

Blomsterwall added:

“With the recent fraud in JPEX, however, it will be interesting to follow which stance policymakers take towards crypto – keep their current strategy or revert back to a more conservative view.”

However, led by its rapid technological innovation, growing crypto adoption, and dynamic business landscape, Asia “is undeniably on the path to shaping the future of cryptocurrencies”.

The Bottom Line

Asia’s crypto boom signifies a seismic shift in the global financial landscape, pushing the region to become a massive crypto hub in the coming years. Fuelled by regulatory clarity, technological innovation, and growing adoption, the area has emerged as the epicenter of cryptocurrency investment and innovation.

Despite challenges, Asia’s proactive approach, coupled with increasing acceptance among its populace, positions it as the driving force shaping the future of digital currencies.

 

Source: https://www.techopedia.com/is-asia-on-the-way-to-becoming-the-next-crypto-hub

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

www.anndy.com
j j j

The 1940s legal test that could pave the way for crypto regulation

The 1940s legal test that could pave the way for crypto regulation

Binance USD (BUSD) is a stablecoin issued by New York-based Paxos Trust Company and is backed 1:1 by the US dollar. However, recent regulatory scrutiny by the US Securities and Exchange Commission (SEC) has raised questions about whether BUSD should be considered a security.

There are arguments for and against this, which I’ll dive into in this article. Most interestingly, the Howey Test and legislation from the 1940s could have a key role to play in this most modern of financial disputes.

Security or not security

To begin, it is important to understand what a security is. According to the SEC, a security is any investment contract, note, stock, or instrument that represents an ownership interest in a company, partnership, or investment pool, or that is offered as a means of raising capital.

In the case of BUSD, the SEC issued a notice to Paxos stating that the stablecoin should have been registered as a security.

The regulator argued that BUSD meets the definition of a security because it is offered as a means of raising capital, has the potential for profit or loss, and derives its value from the success of a third party, namely Binance.

However, Paxos has disputed this classification. The company has even threatened litigation.

There are several arguments for why BUSD is not a security. First, BUSD is a stablecoin, which means that its value is pegged to the US dollar.

This pegging makes it less likely to experience the volatility associated with other cryptocurrencies. As a result, BUSD may not meet the definition of an investment contract because it does not have the potential for significant price fluctuations.

Second, BUSD is not an investment in a company or partnership, but it’s a digital asset that represents a claim on a reserve of US dollars held by Paxos. This means that BUSD does not represent an ownership interest in any entity and is not used to raise capital.

Third, BUSD is used primarily as a means of payment and is not marketed as an investment. Unlike securities, which are marketed to investors expecting a profit, BUSD is promoted as a stablecoin used for transactions.

On the other side of the coin (pun intended), there are arguments for security classification.

To start, BUSD is backed by Paxos, which is a regulated financial institution. This means that investors may view the stablecoin as a safe investment, similar to a money market fund or certificate of deposit.

Next, the fact that BUSD derives its value from the success of Binance may be enough to classify it as a security. Investors may be purchasing the asset with the expectation of profit.

Lastly, the fact that BUSD is used primarily as a means of payment does not necessarily stop it from being a security. The SEC has previously classified cryptocurrencies like Bitcoin and Ethereum as commodities, despite their use as a means of payment.

The Howey Test for cryptocurrencies

The Howey Test is a legal standard used to determine whether a financial instrument is a security. There is debate over whether the almost 100-year-old test can be applied to digital assets, so some experts have proposed a modern-day version tailored to cryptocurrencies.

This version would include looking at several factors.

The first – as with the original test – is whether there is an investment of money. However, if a digital asset issuer has not sold any assets to build its project, it is unlikely to be considered a security.

The second factor is whether there is an expectation of profits from the investment. If a digital asset is utility-based and is used for purposes other than investment, such as voting, it is unlikely to be considered a security.

The third factor is whether the investment of money is in a common enterprise. If the project is decentralized and not controlled and operated by a centralized entity, it is unlikely to be considered a security.

The fourth is whether any profit comes from the efforts of a promoter or third party. If the profit primarily comes from the community, which has nothing to do with the issuance of the digital asset, it is unlikely to be considered a security.

Improving the Howey Test

One approach to adapting the Howey Test to fit cryptocurrencies better is to examine the underlying tech of the digital asset being scrutinized. This would involve evaluating whether the cryptocurrency is sufficiently decentralized and functional to qualify as a utility token rather than a security.

If a token is used mainly to access a blockchain network or platform, and its value is tied to its use rather than speculation, it may not fit as a security.

The SEC has also brought cases against companies that issue cryptocurrencies but do not meet the requirements of the Howey Test. This suggests to me that the SEC is trying to apply the standard to cryptocurrencies even though it may not be completely apt.

While there are some potential ways to improve the test’s application, the ongoing debate highlights the need for greater clarity and guidance from regulators regarding the treatment of cryptocurrencies.

Seeking clarity

While the Howey Test can serve as a starting point for regulation, it is essential to adapt and refine the rules to better reflect the realities of the cryptocurrency market.

A more nuanced and flexible approach is required to ensure innovation while protecting investors from fraud, and more fleshed out regulatory guidance can establish clarity in the market. To do this, authorities should work collaboratively with industry players.

To end where we started, it’s important to note that BUSD should not be classified as a security. Its main purpose is to serve as a payment method rather than an investment tool, and it’s not structured to produce returns for investors in the same manner as conventional securities.

BUSD’s value – with its link to the US dollar’s value – is meant to remain steady instead of being influenced by the speculative pressures that frequently hit other cryptocurrencies. So, let’s keep it this way.

 

Source: https://www.techinasia.com/1940s-legal-test-crypto-regulation

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

www.anndy.com
j j j