Tech Giants: Starting from Bankrupt Companies

326: The Gravedigger of 32SWIFTJuly 20th in Shenzhen, the sky was blue and clear.

The global press conference hall at Xingchen Headquarters was packed. Bank representatives from fifty countries, financial regulators, and over three hundred global reporters crammed into the hall, which had a capacity of eight hundred people.

The giant circular screen slowly lit up, bathing the venue in a deep blue glow.

Su Chen stood in the center of the stage, with a simple line of text behind him: Xingchen Chain · Cross-Border Settlement System.

He wore a dark gray shirt and black trousers, with his sleeves rolled up to his forearms. No script, no teleprompter, just a wireless microphone.

Below the stage, representatives from various countries held their breath.

Su Chen spoke, his voice calm:

”Everyone, what Xingchen is releasing today may have a greater impact on the world than all our products from the past seven years combined.”

He gestured, and the big screen displayed data: Xingchen Chain, settlement time: 10 seconds, transaction fee: 0.03%, supports 15 currencies for direct settlement, not subject to United States jurisdiction, launching today.

The crowd below began to stir.

Some gasped in surprise, some whispered, and others took notes rapidly on their laptops.

Su Chen continued:

”Xingchen Chain is based on blockchain technology and supports direct peer-to-peer settlement for fifteen currencies, including rmb, euro, ruble, rial, ringgit, and Saudi riyal. No need to go through the US dollar, no need for United States regulation, and no need to wait three days.”

He paused.

”The transaction fee is only one-tenth of SWIFT’s.”

The big screen switched to display a real-time transaction demo:

A $1 billion transfer from Moscow to Tehran.

Initiation time: 10:32:05

Confirmation time: 10:32:15

Duration: 10 seconds.

Transaction fee: $30,000 (SWIFT would require $3 million).

In the audience, Sergei Storchak, Deputy Governor of the Central Bank of Russia, stood up abruptly and applauded.

The applause quickly spread.

At 10:30 AM, five countries were connected.

On the big screen, the names of the five countries lit up one by one, each followed by a green ”Connected” sign:

Russia — Connected

Iran — Connected

Malaysia — Connected

Vietnam — Connected

Saudi Arabia — Connected

Su Chen announced:

”Starting today, the above five countries have fully connected to Xingchen Chain. Trade settlement between these countries can be completed in real-time, with costs approaching zero.”

Thunderous applause erupted from the audience.

A reporter raised their hand: ”Mr. Su, when will other countries be able to connect?”

Su Chen smiled: ”Xingchen Chain is an open system. Any country can apply to connect as long as they accept Xingchen’s rules. However, the technical team needs time for deployment, so there will be an order of priority.”

Another reporter asked: ”Can United States banks connect?”

Su Chen’s smile deepened.

”In principle, yes. But if the United States government’s sanctions decree does not allow it, that is a matter between them and the United States government. Xingchen’s doors are open to all enterprises that follow the rules.”

New York, JPMorgan Headquarters.

Jamie Dimon stood in his office, watching the big screen on the wall. The Xingchen Chain press conference was being broadcast live on the Bloomberg terminal, with real-time commentary scrolling beside it.

The 60-year-old Dimon was a legend on Wall Street, having helmed JPMorgan for fifteen years, surviving the 2008 crisis and countless regulatory storms. He had seen too many disruptors, and he had seen too many disruptors fall.

But at this moment, he felt an unprecedented sense of unease.

He picked up the phone and dialed the number of the Head of International Business:

”Get me Xingchen International. Find Su Chen.”

On the other end of the line, the executive was stunned: ”Boss, we don’t have direct contact with Xingchen...”

”Then find it. Through the Hong Kong branch, through partner banks, through any channel. I want to speak with Su Chen within 24 hours.”

He hung up the phone and looked back at the screen.

On the big screen, the Xingchen Chain transaction demo was still scrolling. One transaction every ten seconds, cost almost zero.

He thought about SWIFT’s settlement time—three days. He thought about SWIFT’s transaction fees—a single cross-border transfer could earn a bank hundreds of thousands.

If Xingchen Chain became popular, how much would Wall Street’s profits shrink?

He didn’t know. But he knew that if they didn’t keep up, JPMorgan might become history.

At the same time, Goldman Sachs headquarters.

David Solomon was also watching the live broadcast.

The 55-year-old Solomon sat behind his desk, hands crossed over his chest, brow furrowed.

An assistant stood nearby and asked cautiously: ”Sir, should we email Xingchen?”

Solomon was silent for three seconds, then said:

”Send it. Ask them if Goldman Sachs can connect to Xingchen Chain.”

The assistant was stunned: ”Boss, the United States sanctions on Xingchen...”

Solomon gave a bitter smile.

”Sanctions? Wall Street’s survival is more important than sanctions. They’ve been sanctioned for three years, and yet Xingchen is getting stronger. They need capital, we need business. This is business.”

He paused.

”Besides, if JPMorgan connects first, we’ll be at a disadvantage.”

At 2:00 PM, Lin Wan pushed open the door to Su Chen’s office, holding a tablet.

”President Su, both JPMorgan and Goldman Sachs have sent private messages wanting to connect to Xingchen Chain.”

Su Chen was standing by the window, looking at the view of Shenzhen Bay. Hearing this, he turned around and smiled.

”They are smarter than politicians.”

Gu Xinghe sat on the sofa and asked: ”Should we connect them?”

Su Chen thought for a moment.

”Connect. But not now.”

He walked back to his desk and sat down.

”Let them wait. Wait for the United States sanctions bill to come out, wait for them to be caught in the middle. At that point, they will be more obedient.”

Gu Xinghe frowned: ”What if they can’t wait?”

Su Chen shook his head.

”They can wait. Wall Street’s patience is much longer than a politician’s. They will lobby the White House, push for amendments to the bill, and help us lift the sanctions in all sorts of ways.”

He smiled.

”Because Xingchen Chain is their only option to survive; if they don’t join, they will be eliminated.”

July 21st, 9:00 AM, Kuala Lumpur, Malaysian Prime Minister’s Office.

Mahathir sat behind his desk, presiding over a cabinet meeting. The 80-year-old man had completely white hair, but his eyes were still sharp.

The satellite phone rang.

An assistant picked it up, listened for a second, then covered the receiver and said to Mahathir:

”Mr. Prime Minister, it’s Lin Wan, President of Xingchen International.”

Mahathir took the phone.

”President Lin, good morning.”

On the other end, Lin Wan’s voice was clear:

”Mr. Prime Minister, Xingchen has some good news to share with you. We will support Malaysia in building a second Peregrine Falcon assembly line, with an annual capacity of 30 sets.”

Mahathir’s eyes lit up.

”When?”

”We can announce it today. Xingchen will send a technical team to assist with site selection and construction. Production is expected to start by the end of 2019.”

Mahathir put down the phone and looked at the cabinet members.

”Gentlemen, Xingchen has sent us a great gift.”

10:00 AM, Kuala Lumpur, Malaysia International Trade and Exhibition Centre.

The makeshift press conference venue was packed with global reporters.

Mahathir stood on the stage, with the Malaysian flag and the Xingchen flag behind him.

He announced:

”I announce that Malaysia will become the second country in the world to possess a Xingchen Defense production line.”

The big screen displayed:

Malaysia - Xingchen Defense Industrial City

Location: Kulim Hi-Tech Park, Kedah State

Capacity: Annual production of 30 Peregrine S-15 air defense systems

Target Market: Southeast Asia countries

Production start date: End of 2019

Mahathir smiled and said:

”This is the reward for Malaysia fully leaning towards the Xingchen industrial system. We have exchanged our sincerity for a ’ticket’ to the defense industry.”

In the audience, Malaysian reporters applauded excitedly.

A foreign reporter raised their hand: ”Mr. Prime Minister, does this mean Malaysia is abandoning its security cooperation with the United States?”

Mahathir’s smile remained unchanged.

”Malaysia does not abandon any friends. But Malaysia prioritizes partners who can help the country develop. Is the United States willing to give us a defense industry? Is the United States willing to transfer technology?”

The reporter was silent.

Mahathir continued:

”Xingchen gave us technology, gave us a production line, and gave us 300,000 jobs. What did the United States give us? A few decommissioned patrol ships, a few thousand study abroad quotas?”

He paused.

”You know the answer yourselves.”