Smartcoin is just a way to hold and trade real world assets on the blockchain. In order to issue, you, or me, or someone else must click 'borrow' button and put collateral to cover its value. Next, sold it on the market, buy back when price is lower, pay your debt, get back collateral. Difference is yours - easy money. This is how it's work. But when price goes other direction and meet your margin call, you are foced to buy back, and pay your debt. Dangerous game.