What Are Digital Assets

Digital Assets, Cryptocurrency & Blockchain Explained

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Since their inception in 2009, Digital Assets sought to do 1 thing; provide an alternative solution to the traditional finance and money system globally. In the wake of the 09 ‘Global Financial Crisis’ the devastation of debt-fuelled economies ravaged billions of people, and businesses worldwide; creating a catalyst for a new asset class that would provide an alternative solution to the way we transact and use money.

Over time, thousands of Digital Assets have been created, evolving to serve 3 major functions:

01
A store of value

Used to appreciate like Gold, Silver or property

02
A currency

Used similarly to the US or Australian dollar, to purchase goods & services

03
A form of barter

Used to run specific networks, and exchange resources within a network

While the use cases have developed over time, the underlying value of all Digital Assets remains the same: Digital Assets create a way for 2-parties (ie people) to exchange value, without the requirement of a trusted 3rd party, such as a bank or platform, to facilitate a transaction.

This is done using a revolutionary form of technology known as a ‘blockchain’. The technology, which underpins all Digital Assets, can be applied to everything from putting fuel in your car, to paying your rent – or even to greater transactions like buying a house, vehicle or other asset. So what reason would anyone have to use this technology over existing methods?

Overall there are 8-key advantages of Blockchain over standard traditional instruments:

Global Reach
With no limits on payments or transactions, any 2 parties can exchange value any where in the world.
Accessible
These transactions can take place anywhere, as long as there is an internet connection.
High-Speed
Rather than having to wait days or weeks for bank transfers or other 3rd parties (like Western Union) to approve and transfer funds – transactions can be completed in minutes or even seconds.
Secure
Blockchain technology is underpinned by ‘cryptography’ which secures all transactions. This technology is effectively ‘hack-proof’ and can only take place if a user authorises a transaction with their account keys.
Permission-Less
As these transactions are validated by a series of hundreds of computers, rather than 1 central entity, there is a much greater level of accuracy in transactions. By diversifying the level of trust, Blockchain creates a ‘permission-less’ form of transactions, that is governed by mathematics, rather than man
Decentralised
Rather than being controlled by Governments, banks or other financial institutions, Blockchain networks are not ‘owned’ but rather ‘run’ by thousands of equal members – giving a lower risk of manipulation or dictatorship and a greater sense of democracy and equality.
Pseudonymous
As an address is not linked to a person, there is a level of ambiguity in transacting. While this can be miss-used to transact illegally, its intention is to allow a greater level of privacy to the consumer.
Digital
As the assets themselves are Digital, there is no physical transaction required. This gives greater security from theft, as well as, simplifying the exchange – as it transitions from physical to mathematic-based transfer.
Investing In Digital Assets

NGS vs Alternatives

If you’re looking to get ahead in life, chances are you’ve already looked at or invested in existing asset classes in the past. Whether you’re just starting your investment journey, or are a seasoned investor, you’re likely wondering how NGS Digital Asset Mining packages compare with other investments.

The following graph is designed to give a ‘snapshot’ look at NGS against traditional mainstream investment options:

Digital Asset MiningPropertySharesCrypto investmentPrecious MetalsBondsCash
Produces Capital GrowthYesYesYesYesYesNoNo
Average Growth (over 10 years)100% +6-7%4-5%100% +1.97%NA-1.90%
Produces Yield (cashflow)YesYesSometimesNoNoYesNo
Average Yield10-16%4-6%2.5-4%NoneNone1-1.5%None
Fixed Rate Of ReturnsYesNoNoNoNoYesNo
Debt RequiredNo DebtHigh DebtNo DebtNo DebtNo DebtNo DebtNo Debt
Risk Of Market VolatilityLow-ModerateLow-ModerateModerate-HighExtremeModerateLow-ModerateLow-Moderate
Management RequiredLowModerateModerateHighLowLowLow
Associated CostsNoneHighModerateNoneNoneModerateNone
Security RiskLow-ModerateLow-ModerateLow-ModerateModerate-HighLow-ModerateLowLow
Liquidity (ie able to be easily disposed of)MinutesWeeks/MonthsDaysMinutesDaysYearsMinutes
Payment FrequencyDailyWeeklyQuarterlyNANA6-MonthlyNA
Risk LevelLow-ModerateModerateModerateHighLow-ModerateLowLow
Physical / TangibleNoYesNoNoYesNoYes