China's trademark law stipulates that "a trademark approved and registered by the Trademark Office is a registered trademark, and the trademark registrant enjoys the exclusive right to use the trademark and is protected by law". Therefore, unregistered trademarks are always in a state of no right protection, and may be banned from use at any time because of the approval and registration of the same or similar trademarks by others.
if the brand becomes bigger, once others register it as a trademark first, they have to spend money to buy it back or reshape the brand, which will cause heavy losses.
moreover, registered trademarks are also risky. even if they are registered, they may not be registered. Therefore, if business operators want to use a brand stably and securely, it is best to register it as a trademark first.
trademarks are also intangible assets, and loans can be pledged under certain circumstances.