Talk:Digital asset

The following is a request for input on the best way yo disclose the difference between the dual use of the term Digital Asset. In many instances the term is used to describe data that "functions as a representation of a store of value" such as bitcoin stored in a "wallet" and, in other cases, it is "binary data that includes the right to use" such as software and digital media owned by an individual or an organization.

The problem, of course, is that "digital asset" such as bitcoin does not produce revenue, unlike a "digital asset" such as Microsoft_Windows platform, or Big data aggregated and managed by companies like Google that make up the basis of the value in Big_Five_(technology_companies) companies. These terms are often used interchangeably, making the distinction even more confusing - such as "crypto assets" “digital currency” “virtual currency." The term "Digital Assets" is unique because it encompasses all digital data, and separates it into two distinctly different categories: digital assets and binary data. The first can be managed, can be owned, the ownership is protected by copyright laws and similar legal mechanisms, and finally, it can produce revenue. The second, cannot.

Binary data that does not have a right to use, is not an asset, but, similar to tulip bulb, it can be assigned value by individuals or organizations, it can be traded, and it can be stored for future re-sale. Binary data, however, distinctly does not produce revenue. For example, "digital asset" such as bitcoin sitting in a "cold storage" or Cryptocurrency_wallet does not actually produce a service or a product that can be used or purchased, it is merely a store of value.

The following is an attempt to separate these terms, or at least, identify the difference between uses. This proposal has been flagged for lack of reliable sources to support inclusion into the body of the article. More reliable sources will help this content to be implemented into the main body of the article.

Proposal to include:

The use of the term with cryptocurrencies

The term digital asset is often used to describe a digital asset that functions as a representation of a store of value, such as Bitcoin or Ethereum. Alternatively, cryptocurrency is also known as “digital currency” or “virtual currency." This is a different use of the term compared to a binary source that includes the right to use. Digital files that do not include the right to use are not considered digital assets.^[1]

Cryptocurrency is binary data that can be possessed and may be stored in custody of individuals or organizations, often with the use of digital “wallets”. ^[2] For example, a paper written by Usman W. Chohan and published by SSRN in August 2017^[3] characterizes bitcoin as a digital asset.

Litesand (talk) 20:03, 18 January 2020 (UTC)

Aren't Distributed Ledger Technology products (cryptocurrency) are already included?

The first sentence could be taken to include cryptocurrencies. The right to use being conferred by control of the keys for a particular account.

A digital asset is anything that exists in a digital format and comes with the right to use.

Netscr1be (talk) 17:08, 9 February 2021 (UTC)

The rights to use in this case revolves about the copyright, where the entity and the identifying information about the author of a work is the integral element. The author determines the usage of the asset - who and how gets to use it. Cryptocurrency uses digital keys to keep track of value, the holder of the key does not have rights to use to the ledger, they merely has an access to it via a binary data reference. The key, by itself, is meaningless. The distinction is that digital assets have inherent value by themselves, such as a painting produced by an artist. Digital tokens do not have this quality, but merely store value of something else (fiat cash) secured with binary data access keys. It is important to separate these terms where one is a binary crypto asset and another is a binary digital asset.Litesand (talk) 03:42, 7 August 2021 (UTC)

The original post above discusses the possibility of earning revenue as “the problem, of course.” What the hey does earning revenue have to do with whether it’s an asset or not? Legal tender, cryptocurrency, computer software, a car, a painting, or the food in my fridge, are all assets, aren’t they? All could be for personal use, or might be used to earn interest or for a business. Egmonster (talk) 20:25, 10 October 2022 (UTC)

The summary is horrible, it's a citation in legal jargon from a legal report; readers need to read this 3 times to understand it. The summary is in desperate need of re-formulating.

What about this? "A digital asset, in essence, is any content digital form with a defined right to use. Data that do not possess that right are not considered assets. Digital assets can be digital documents, audible content or motion pictures, and other digital data stored on any kind of physical device, notwithstanding the proprietorship such a device."Kellerpm (talk) 10:42, 22 September 2020 (UTC)

Well, perhaps the summary is not ideal. On the other hand, your formulation looks even worse. For example: "...is any content digital form..." - do you really think this is correct grammar? Ladislav Mecir (talk) 16:06, 22 September 2020 (UTC)

Digital assets include but are not exclusive to: digital documents, audible content, motion picture, and other relevant digital data that are currently in circulation or are, or will be stored on digital appliances such as: personal computers, laptops, portable media players, tablets, data storage devices, telecommunication devices, and any and all apparatuses which are, or will be in existence once technology progresses to accommodate for the conception of new modalities which would be able to carry digital assets; notwithstanding the proprietorship of the physical device onto which the digital asset is located.

Really?

Here's a quick, informal parse tree:

Digital assets include but are not exclusive to:

• digital documents
• audible content
• motion picture
• and other relevant digital data
  • currently in circulation

• are
• will be

• stored on digital appliances such as:

• personal computers
• laptops
• portable media players
• tablets
• data storage devices
• telecommunication devices
• any and all apparatuses which

• are
• will be

• in existence once technology progresses

• to accommodate

• for the conception

• of new modalities

• which would be able to carry digital assets

• notwithstanding the proprietorship

• of the physical device

• onto which the digital asset is located.

I guarantee the average reader is gassing out long before constructing even such a loose parse tree in their own minds.

Seriously, the reading modality here is buzzword stew. IMHO, it's a negative testament to the versatility of the human mind that we accept this kind of structure even with our eyes mostly glazed over. — MaxEnt 22:29, 10 March 2021 (UTC)

I'm looking for some reference points in terms of how a Wikipedia article should be written, but this one in particular seems a bit 'off'. Would other editors consider this a well-written piece? Nojoi4l (talk) 13:54, 4 October 2021 (UTC)

This article was the subject of a Wiki Education Foundation-supported course assignment, between 22 May 2024 and 24 August 2024. Further details are available on the course page. Student editor(s): Ryan1232378 (article contribs).

— Assignment last updated by Zq2197 (talk) 04:28, 17 August 2024 (UTC)