Today, technology has come into play in almost every industry around the world. Nothing can stop or hinder growth. Only accepting and adapting before Disrupt is finally swallowed up. Dr. Pailin Chuchottaworn, chairman of the Vidyasirimedhi Institute Council shared a vision with the participants of Mission X: The Boot Camp of Advanced Corporate Transformation, Generation 4 as follows:

The era of change of humanity

German scientists presented the results of their research. Humans have undergone 3 eras of transformation. World 1.0 era, there was a change at the end of the Ayutthaya period. It was the time when Europe left the Dark Age. Known as an industrial revolution, the steam engine was discovered. After its discovery, the evolution of the world changed dramatically. Not long after, it was the World 2.0 era, with the discovery of electric power. World 3.0 era is the era that has changed from analog to digital. Dr. Pairin added that at that time, it was the first year at Chulalongkorn University. Students can use the calculator in the exam room. For Gen X people, it will overlap between the analog world and the digital world. As for Gen Z and Alpha, they are Digital Natives who have tried to bring a rotary phone to this generation. It turns out that they cannot use it. When asked what is World 4.0 era? Dr. Pairin replied that no one knew what it would be like. But what is going to happen in the future will be the use of artificial intelligence (AI) and many robots.

Speed ​​of Digital Transformation

Since the world entered the digital age Hardware advancements happen at a rapid pace, as can be seen from hard disk drives. The first generation 5 Megabyte, the size of a locker. Until now, it has become a Micro SD Card 1 Terabyte, the size of a fingertip. The advancement of Hardware is exponential. While the advancement of software has grown equally. Memory is larger while CPU is smaller. It is noticeable that during the hardware development, computer engineers play a key role. But at a certain point in development, software began to play a role. Programmers play an important role, but when using more hardware and software, it creates a huge amount of data. Now data has become an asset of the organization. Data Scientists have a role to play in taking advantage of data.

Retracing the history of the digital age

In the first era is Web 1.0 is the era of Basic Web, Java, Html. The second era is Web 2.0 is the era that brought computers together until it became a Social Network and now it is entering the third era, which is Web 3.0, an era in which the world Social networks can create artificial objects. The various changes that occur in the world It was not born of a scientist alone. But because the natural development of technology is exponential.

From the illustration, today technology costs are reduced exponentially, including Storge, CPU, Sensor and Bandwidth (point-to-point data transmission), which is driving change in the digital industry. Therefore, in this era If anyone is thinking of using technology to do something. It will be easier to do as the cost keeps getting cheaper.

All this creates a Digital Vortex, or the digital vortex that engulfs everything, causing disruption. There is continuous innovation. causing the question So what's the end of the change? The answer is no one knows, but Elon Mask is now funding research into connecting animal brains to computers. And in the future if the human brain can be connected to a computer. Think about what will happen. There are sci-fi films that tell the story of the Humanoid leading to the destruction of the world and the films about the progress of the future world. “But we don't know in the end. Where will the humans go, but surely this end will surely come quickly. And it might come while I'm alive,” said Dr. Pailin.

Real world vs virtual world

Today we have two planets. The first is the physical world. It has a population of over 7 billion people, comprising 195 countries. Every country has its own borders, laws, central banks, their own currency. While the second world is the digital world, with a population of 4.5 billion people (accounting for 70% of the first world), the second world is a world without borders, without gender, age, nationality, law or even a central bank. By these two worlds Connected via satellite, 4G 5G, fiber optics. Today people live in two worlds. and will spend more and more time in the second world. If we notice that the real world and the virtual world are very different. In the digital world, data travels faster than light. Whatever happens in the digital world is so fast that people on this second world Impatient, can't wait for anything, everything is Intangible, intangible, and Dynamic is very fast, but if I say that both worlds Totally separated is not true either. Because there are some connections (illustration).

As illustrated, in the physical world, economists divide the world into two sectors: the real sector, such as real estate trading, and the financial sector. In the Financial Sector, money does not exist. The first era was born from the exchange of things between each other. Later, find things that are convenient to exchange as an intermediary, such as gold, later coins. Later, paper was used with this paper certificate. Money is a fictitious thing that does not exist. Therefore, the money that humans come up with is called Fiat Money. We do not call money. This is assuming that the Real Sector is called the Financial Sector, with the central bank in charge, and when the Financial Sector is fictitious. Therefore, it relates to the virtual world. Make people who want to do anything in the Financial Sector are called Fintech.

Know the money in the virtual world

Because money is fictitious Make people have ideas to make money in the digital world. by having to confirm the existence of that item Thus, the origin of Blockchain was born in 2009. A person who goes by the pseudonym Satoshi Nakamoto came up with an algorithm for use in the digital world. Blockchain algorithms turn the non-existent, with smart contracts as proof of its existence, and are directed by Blockchain systems can verify their presence on the system. By having the many computers in the system act as Distributed Ledgers, monitoring each other.

In theory, blockchain algorithms cannot be attacked or destroyed. Many people believe that Blockchain technology is stable. But money in the digital world is not only Cryptocurrency alone Some people, especially Baby Bloomer, see that Cryptocurrency It's something that can't be trusted. Thus, creating another digital money called CBDC (Central Bank Digital Currency) is a digital currency issued by the central bank of each country, but the truth is fait money in digital form. There is also Stable Coin, a hybrid digital currency. Cryptocurrency and CBDC, where the money must be tied to something, for example, issuing cryptocurrencies and then attaching the money to the dollar value to provide a constant value such as Facebook's Libra.

When asked about Cryptocurrency Is it about to collapse? Dr. Pairin said that I want you to think that 1 Bitcoin is still equal to 1 Bitcoin, but what makes it look like it collapses. Because people associate Bitcoin with the Fait currency, the bearer is susceptible to Bitcoin's decline, but Bitcoin’s value lies in the potential of Blockchain technology.

Some people say that money Cryptocurrency Is it money that is not transparent? Dr. Pairin said that, in fact, money Cryptocurrency It is the most transparent money in the world. Because every transaction has a code as a block to be stored in the Blockchain, then the block that enters the system will stay forever. Able to check the Transaction to see what happened between who and who. Fait money, on the other hand, is not transparent. Because they can't trace the origin of the money, for example, if someone makes 1,000-baht, 1 tie falls on the side of the road and someone picks it up and can use it at all. No one knows where the money came from.

Data, a treasure in the digital world

In addition to money in the digital world, Dr. Pairin also said that the digital world is moving closer and closer to the physical world, such as the Internet of Things. In the future, things in the physical world become intelligent, we can control or talk to them. It can be seen that when the world enters the Web 3.0 era, everything will be decentralized, no one controls, hence the origin of the term DeFi or Decentralized Finance with Blockchain technology to record and process transactions instead of intermediaries and will be the link between C2C. This makes the transaction time fees very low.

In the digital world, data is the most important thing. To create data, it must lead to engagement. Engagement will lead to enormous data and data will lead to the most useful Usefulness. Therefore, the person with the most data is the winner. To use the data to be useful, there must be AI as an assistant. Before parting, Dr. Pailin said, “In cyberspace, we may not know that people who talk to us. We may not be human Because the digital world has no gender, no age, no rules.”

Therefore, in the face of global economic recession due to various situations, it is important for businesses to be resilient to the impact of unpredictable challenges. It is a secret weapon that will help maintain stability. Increasing the capability of the business sector to be stable Even in difficult conditions

Source: Mission X: The Boot Camp of Advanced Corporate Transformation, Class 4 by Dr. Pailin Chuchottaworn, President of the Vidyasirimedhi Institute Council, May 28, 2022 at the Siam Commercial Bank Headquarters.