Cryptocurrencies are a form of a digital money created on computer systems. Their dominant feature is that there are no third-parties or middlemen controlling the currency, unlike traditional fiat currencies.
The developers of each cryptocurrency can design their own systems, starting from how to acquire the money, how much money will circulate in the system, and how to use it.
Each cryptocurrency is based on decentralized and distributed tracking of currency movements, making all transactions visible to anyone in the network, which in turn enhances the security and transparency of data.
Of all the cryptocurrencies, Bitcoin is the first to have been invented. With the Bitcoin market heating up over 600% since the beginning of 2017, people around the world have their eyes on Bitcoin’s phenomenal growth.
This growth is driven primarily by rising demand, both from people who are starting to awaken to the use of cryptocurrencies, and from investors looking to profit from trades.
Bitcoin has outperformed traditional currencies in many respects, such as enabling faster remittances. Since Bitcoin does not require intermediaries to confirm transactions, payments made via Bitcoin can be completed within ten minutes or so.
Bitcoin is also very secure. With everyone in the Bitcoin network working from real-time transactional data and the same database, it is difficult to modify transaction data or an attack on the system to occur.
The popularity of Bitcoin has resulted in over a thousand other newly-invented cryptocurrencies. Each of these new currencies contain enhancements offering a variety of features and facilitating more real-life applications.
For example, Ether applies smart contracts so that transaction conditions can be specified. Merchants can opt to process payments on the condition that the goods have been marked as delivered.
Insurance claims can be automatically filed when a plane is delayed, saving passengers the trouble of filing such claims later. Another cryptocurrency, Ripple, has been designed as a remittance currency, enabling safer remittances within just seconds.
These two cryptocurrencies are currently getting increased attention from investors and financial institutions because they provide obvious benefits that can be applied in a variety of scenarios.
As a result, their price has risen more than 3,000% since the beginning of 2017. Both currencies together are now worth more than 20% of the cryptocurrency market, with Bitcoin accounting for more than half of the market, and the rest of the market share being belonging to other cryptocurrencies.
Despite all the advantages, EIC still believes that replacing traditional currencies with cryptocurrencies will not be easy. Cryptocurrencies still face limitations, such as small market caps and high exchange rate fluctuations.
Currently the total market value of cryptocurrencies is 8 times less than the number of US dollars in circulation and 42 time less than the value of gold.
Cryptocurrencies also reveal high volatility when compared to the world’s major currencies, such as the US dollar, Euro, Japanese Yen, or Chinese Yuan. Since the beginning of the year top…
Author: Puripat Sophonkeereerat
Thailand’s economic growth expected to return to 2019 levels in mid-2023
Although the economy would recover next year, the recovery is still substantially below potential level resulting in a large output loss and could affect Thailand’s potential economic growth in the future with the economy expected to return to 2019 levels in mid-2023.
The Siam Commercial Bank (SCB), one of Thailand’s largest commercial banks, said in its latest economic outlook report that the country’s economy may wait until the second semester of 2023 to return to 2019 growth levels.(more…)
S&P maintains Thailand’s credit rating at BBB+ with stable outlook
Standard and Poor’s (S&P) maintained Thailand’s credit rating at BBB+ . The global rating firm expects the country’s gross domestic product (GDP) to grow at 1.1% this year, with a more optimistic growth at 3.6% per year from 2022 to 2024.
Standard and Poor’s (S&P) maintained Thailand’s credit rating at BBB+ . The global rating firm expects the country’s gross domestic product (GDP) to grow at 1.1% this year, with a more optimistic growth at 3.6% per year from 2022 to 2024.(more…)
Can border reopening revive tourism in South-East Asia?
In Thailand, where pre-pandemic tourism accounted for 11-12% of GDP, the country lost an estimated $50bn last year as Covid-19...
Thailand dropped from UK’s tough covid-19 travel ‘red list’
Earlier, Thailand was listed among countries with high infection levels that were put on a ‘red list’, requiring arrivals to...
The ASEAN-Russia Trade and Investment Cooperation Work Program
ASEAN and Russia recently agreed to enhance and widen economic cooperation at the 10th ASEAN Economic Ministers (AEM)-Russia Consultations held...
Flexible Workspace Startup Worklounge Debuts with 20+ Luxury Member Lounges in Thailand
Worklounge launches a premium membership granting remote professionals and executives access to exclusive hotel lounges across Thailand. Their platform is...
5 insights to guide ASEAN’s digital generation in a post-pandemic world
We surveyed 86,000 people from six ASEAN countries about their views for a post-pandemic world. The ASEAN Digital Generation Report...