Digital property rights are key to a thriving Web3 economy — Yat Siu, Animoca

Yat Siu, co-founder of Hong Kong-based venture capital firm Animoca Brands, believes that on-chain digital property rights are a major aspect of blockchain technology that will drive a more decentralized society.

Speaking at Korea Blockchain Week (KBW) 2022, the Hong Kong entrepreneur noted that we are all “digital dependents” and that “data is a resource for measuring metrics” for platforms like Apple, Google and Facebook Bring value, Sui said:

“The most powerful companies in the world today are not energy companies or resource companies, they are technology companies, and they are not powerful because they make software. They are powerful because they control our data.”

But unlike the Web2 platforms we’ve become accustomed to, blockchain-based applications allow us to control this data and be immune to “digital colonization,” Sui said, adding:

“powerful [thing about] Web3 is the fact that we can have ownership and we can make a big difference because we have distributed and decentralized ownership of these assets. “

Sui also emphasized the importance of property rights, noting that states that empower their citizens with strong property rights enable their societies to prosper. Sui pointed out the correlation between the International Property Rights Index (IPRI) and the Gross Domestic Product Index (GDPI):

“A place with almost no property rights […] you can see [are in] bottom 20% [of GDPI] But countries with very strong property rights, South Korea, the U.S., Japan, most of Europe, have very, very high property rights,” he explained, adding that digital property rights should be no different.

Digital ownership will take off in Asia

Siu added that by far the Asian continent has the most room for growth in Web3 and the use of digital property rights.

Xiao said Asia has a very rich history of “incredible content” and “digital expressions,” much of which can be turned into blockchain-based assets [in the form of NFTs] and provide them with digital property rights to their assets.

related: Digital Sovereignty: Reclaiming Your Private Data in Web3

Xiao added that while Asians spend more time on the internet today than any other continent, there is still plenty of room for growth. “Unlike the rest of the world, where almost 100 percent penetration is in the West,” he noted, Asia accounts for only about 67 percent of the entire continent’s internet adoption.

Siu also stated that the perception of blockchain-based metaverses, games and non-fungible tokens (NFTs) and the digital property rights that come with them is much more positive than in the West.