Digital assets must not be ignored in future asset allocation

Xiao Feng, Chairman of Tonglian Data: Digital assets must not be ignored in future asset allocation

When investing in assets, how can you achieve returns that exceed those of most of your peers?

In this regard, Xiao Feng, vice chairman of Wanxiang Holdings and chairman of Tonglian Data, said at a financial technology investment summit that in order to obtain returns beyond expectations, it means that you must adopt a different asset allocation method from others, and in the future, the most obvious opportunity in alternative asset allocation may be digital assets. " In the next 10 years, this new asset class cannot be ignored. "

What are digital assets? Xiao Feng pointed out that digital assets have five major characteristics: First, digital assets are capital registered on blockchain or distributed ledgers; second, digital assets are virtual assets that exist in the form of bits, unlike physical assets such as gold; third, digital assets are programmable assets exchanged in the form of computer codes; fourth, digital assets are peer-to-peer autonomous transactions that do not require human intervention; fifth, most digital assets exist in the form of coins , which are equivalent to " digital tokens " .

According to Xiao Feng, digital currency is the most mature digital asset at present, including digital legal currency that the central bank is studying, algorithmic currency like Bitcoin, protocol currency like Ethereum, and anchored asset currency anchored to certain assets such as gold. In addition to digital currency, there are many digital assets, such as Nasdaq's LINQ and UBS's smart bonds.

" We can make a forecast: the total market value of digital currency is about 11 billion US dollars at present, but 20 years later, according to the most pessimistic forecast, the total market value of digital assets will reach at least one trillion US dollars. I think that maybe in 10 years, the total market value of digital assets will exceed one trillion US dollars. " Xiao Feng said, " In the next 10 years, from the perspective of asset allocation, you cannot ignore digital assets as a new asset class. " (Li Husheng)