Cambodia Investment Review
In episode 142 on the Rising Giants podcast, Sanjay Popli, Group CEO and Co-Founder of Cryptomind Group, shared insights into the evolution of Thailand’s cryptocurrency landscape and his journey as an entrepreneur. Sanjay, a pioneering figure in the region’s Web3 ecosystem, has been instrumental in shaping the industry, steering Cryptomind Group to become a leading force in blockchain and digital assets.
Under his leadership, the company has launched major initiatives, including Thailand Blockchain Week and the country’s first SEC-licensed digital asset fund, Merkle Capital, which now manages assets worth $70 million.
Sanjay began by recounting his early career at his family’s textile wholesale business, which had expanded across Cambodia and Myanmar. Despite the success, he expressed a desire to explore emerging technologies, eventually pivoting into the cryptocurrency space in 2017. “I wanted to focus on next-generation tech and started experimenting with different ventures,” he noted.
His transition was marked by extensive self-learning and engagement with startups in the sector, leading him to prioritize projects centered on community building and educational initiatives within the crypto ecosystem. “We felt the need for a media arm that could provide guides, general news, and support for community engagement,” Sanjay added.
It’s Crucial To Ensure Compliance and Transparency
Reflecting on the industry’s early stages, Sanjay described it as “the wild west,” with minimal regulation and a high level of risk. By 2018, however, regulatory frameworks began to take shape, creating a more structured environment for digital asset exchanges.
“When dealing with people’s money, it’s crucial to ensure compliance and transparency,” Sanjay explained. The market has seen a significant expansion, growing from approximately 150,000 users to over 2.5 million today, underscoring the rapid increase in interest and adoption.
A significant aspect of Cryptomind Group’s strategy has been its media and community-building focus. The company runs Bitcoin Addict, Thailand’s largest crypto community and media platform. Sanjay emphasized the importance of fostering a strong, value-driven community. “Our approach has always been centered on creating a space where people can share ideas and support one another,” he said. In a sector rife with scams, Sanjay believes that a trustworthy and educated community is vital for industry growth.
Discussing the origins of Merkle Capital, Thailand’s first SEC-licensed digital asset fund, Sanjay noted it stemmed from investor demand. “We were often approached by people asking for investment advice in the crypto space,” he recalled.
This interest led to the formal establishment of Merkle Capital, which focuses on a diversified investment thesis, including emerging sectors like tokenized real estate. Sanjay shared his preference for backing strong founders, stating, “I always believe in betting on the founder.” However, he also acknowledged that the volatile nature of the industry has led to setbacks, particularly with gaming tokens that underperformed after their peak in 2021.
Cautious Approach To Deal-Making In The Current Market
Looking ahead, Sanjay indicated that the group’s focus for 2024 would be on infrastructure projects and validator nodes, with a cautious approach to deal-making given the current market slowdown. “This year has been slower, with only three deals so far, but we remain committed to strategic projects that can drive long-term growth,” he noted.
Sanjay also spoke about the broader sentiment in the cryptocurrency market, comparing Bitcoin to “virtual gold” due to its established status, while positioning altcoins as akin to investments in emerging technology startups. He remarked, “The current trend shows retail investors gravitating towards meme coins, while venture capital firms are more interested in consumer-facing infrastructure projects and the integration of traditional finance with new crypto technologies.”
Sanjay also highlighted the upcoming DevCon event in Bangkok as a pivotal moment for the region’s Web3 industry. “It’s going to be a major event with builders from across the space coming together,” he said, emphasizing the significance of attracting investors and venture capitalists who are unfamiliar with the Southeast Asian market outside of Singapore.
“There are already many side events planned around Thailand, making it a prime opportunity for networking and showcasing innovation in the region.”
When asked for his parting advice, Sanjay encouraged aspiring entrepreneurs to remain open-minded and prioritize listening, regardless of their experience level. “It’s important to reconnect with grassroots and draw energy from newcomers in the industry,” he stated.
He also recommended the book The Alchemist by Paulo Coelho, which he finds inspirational for its message about following one’s passion. “Don’t fear failure,” Sanjay advised. “It’s all about trying something new and embracing the journey.”
