My week in Davos was full of inspiring and enlightening conversations, provocative talks and invigorating conversations with thought leaders on a wide range of topics regarding digital assets and crypto currencies. Throughout the week I found a few major themes that stood out across these talks and panels. Below is a quick snapshot of those insights, as well as some additional resources to look at for each.
Related: Four steps to prepare for GenAI in the enterprise
GenAI Is “Out of the Bottle”
The Artificial intelligence (AI) – and more specifically Generative AI (GenAI) – revolution is just beginning. So, it’s no surprise that the topic dominated virtually every panel and conversation throughout the week. GenAI, which includes applications such as ChatGPT, GitHub Copilot and others, has the potential to create trillions of dollars in value.
One common insight was that taking a deliberate and calculated approach toward progression will help ensure a robust foundation for responsible AI development. This path includes building a highly-skilled workforce and constructing the necessary technology infrastructure, safely.
Insights also included opportunities at the intersection of web3, DLT and AI. For example, blockchain’s immutability can help in verifying the authenticity of AI models and datasets, reducing the risk of fraud. In addition, users can verify the origin and modifications made to any AI asset over time, reducing the impact of deep fakes. Another example includes decentralized compute, where blockchain technology can create a distributed ecosystem where individuals can contribute their computing resources (CPU or GPU power) to AI model training and interface tasks. This approach democratizes access to AI computing power, and can reward those who contribute through token incentives.
Learn more about the imminent value of GenAI with The Economic Potential of Generative AI research report.
Taking the Quantum Leap
With the inevitable development of quantum technology, there was a fair amount of buzz around quantum readiness and the regulatory and cybersecurity aspects associated with it.
From a national and economic security point of view, leaders shared that governments should build their own sovereign quantum computer and technologies to ensure long-term access to ensure their own geoeconomic security.
It is paramount that we address cybersecurity threats arising from quantum algorithms that will run on future quantum computers with a proactive and comprehensive approach. Preparedness principles include early adoption of quantum-secure cryptography, collaborative governance, cross-industry awareness, and a strong focus on privacy considerations and global cooperation.
Overall, the key to successfully navigating these quantum technology challenges lies in responsible innovation, inclusive engagement, informed regulation and proactive standardization.
Dive into more of what was discussed at WEF’s annual meeting with Davos and the Global Sate of Quantum.
The Tokenization of Everything
A constant point of emphasis since 2016, tokenization has regained serious spotlight in light of increasing institutional adoption and buy-in. (Also, a huge opportunity for DTCC in light of our Securrency acquisition!)
Tokenization of real-world assets can unlock substantial amounts of liquidity, in addition to creating convenience and efficiencies for consumers. Every financial product can be traded digitally 24/7 and its very likely that every investor will have a digital identity. Other aspects of tokenization include mitigating fraud and, finally, enabling T+0 settlement.
Get a breakdown of the benefits and challenges with Tokenization: A Digital Asset Déjà Vu.
Redefining Leadership
The digital roadmap is becoming the ultimate corporate team sport as the cross-functional nature of a digital and AI transformation requires visionary leadership across the C-suite.
An evolving technical landscape requires a workforce capable of seeing the potential opportunities and benefits and harnessing its power. Leadership must be flexible and able to adapt to the needs of their teams and willing to invest in their growth. Also, it is critically important to proactively provide upskilling and career development programs to support not just the advancements of today but those of the future.