We live in an evolving digital age, but the evolution of technology has not been matched by an evolution in ideologies. 

The larger geopolitical frictions today are framed by political, economic, and social perspectives. 

The tensions between cooperation and competition are a reflection of our social needs vs our individual desires. 

Cooperation in terms of security, climate change, development, inequality etc. is needed for our collective survival. 

Competition is part of our human nature, it drives us to be better, to achieve, but it can also be divisive, politically, economically, and socially. 

While it is not an either/or choice, China and America’s geopolitical rivalry is fueled in part by how they view these realities. 

For China, as a civilization, cooperation is the main emphasis. Differences are realities that need to be accepted and managed. Competition is something to be encouraged, in terms of innovation and achievement, but controlled, in terms of social, economic, and cultural frictions. 

For America, as an Empire, competition is the primary driver, differences are a test of power and should be resolved as contests. Cooperation is about situational interests, in essence just a temporary strategic pause in a much larger contest, yet to be decided. 

This is not a clash of civilizations, but a clash of values. 

America as an empire has historically imposed its terms on the world, but the multilateral world that exists today, is more interested in managing differences rather than contesting them. 

China’s Security, Development, and Civilizations initiatives as core aspirations for a multipolar world, resonate with countries who are determined to choose their paths, not have them dictated by a foreign capital. 

With 56 ongoing conflicts, the most since WWII, involving 92 countries, the majority of the world wants managed peace not kinetic competition. 

The differences in outlook between China and the US have become the focal point of a struggle for shaping the multilateral world. The hope is that Washington’s worldview will mature and understand that a homogeneous world based on imposed values is impossible. 

The United States has been involved in 108 military conflicts and had its military forces in all but three countries.

Only 17 out of 248 years that America has existed have been without conflict, unless you count the broken promises and subjugation of the Native Americans, which would mean the US has never been at peace. 

Empire 

An empire is a political unit made up of several territories, military outposts, and peoples, "usually created by conquest, and divided between a dominant center and subordinate peripheries”  - Wikipedia

Civilization 

A civilization is an advanced state of human society containing highly developed forms of government, culture, industry, and common social norms. - Wikipedia

All Civilizations start as Empires, but not all Empires become Civilizations

The difference between an Empire and a Civilization is when the focus of government is about managing rather than expanding. 

American Exceptionalism 

American Exceptionalism is the belief that the values, political system, and historical development of the U.S. make it destined and entitled to extract value and impose its values. 

Security comes not from understanding the gun but the mind of the one holding it.

China and the US are locked in the “prisoner's dilemma”, where cooperation is the only logical solution. 

But, America has historically only changed in response to crises. 

Until Washington abandons American Exceptionalism there is little Beijing can do, other than be strategically patient. 

Technology and Security 

Although technology changes, people remain the same 

You can’t choose when you are born, only what you do when you are capable of making rational choices. Those choices define who you are. 

In terms people there are three kinds in security

● those who can recognize problems,

● those who can solve problems 

● those who can prevent problems 

There are also three kinds of criminals 

● Those that justify their acts because of their beliefs, terrorists 

● those who justify their acts because they believe they are the victims, career criminals 

● those who act in the moment in anger or stupidity

For those who can be rehabilitated they should be given a chance; those who can not society must be protected from them. No one would release a rabid dog, when you know it will attack others, so if someone can not be rehabilitated they should not be released. This applies especially to cyber crimes, as those with these skills one convicted, have few legitimate alternatives. 

New thinking about punishment that puts society first is needed as well. While people tend to think in terms of physical violence, in a digital world the definition of violence can be just as debilitating. Theft, blackmail, bullying are no less real because they happened on the digital realm. 

Vision 

Given every solution simply creates new problems, vision is the ability to anticipate the problems created by solutions and prepare the next set of solutions. The further you can see, the more effective you are, but like Chess after a while the variables become overwhelming. 

The truly great visionaries are people who focus on values, not variables, as people are the true constant. 

Security is essential to stability; the challenge is predictability. 

China’s efforts to create an international order, is based on the premise that each nation has the right to be secure and its decisions about its path politically, economically, socially, and culturally. 

Security at the national and domestic levels is crucial to this vision, without security and the protections and predictability, society can not function. 

A multipolar world where trade is increasing also increases mobility and presents additional security issues. 

Governments will have to think and communicate more efficiently, this means coming to agreements about data sharing and extradition. Unlike the past, cyber criminals can physically be far removed from those they victimize. 

By creating and following standardized protocols, educational, and security, enforcement agencies can streamline the flow of information, which is necessary as time is a factor in the digital world. 

Security and education groups should work together and be proactive, by studying and giving input when new laws and policies are in the process of being adopted,especially in terms of how these systems can work efficiently with sufficient safeguards to prevent misuse. 

People to people exchanges are a crucial part of this. Law enforcement in the digital realm requires the same trust as the physical world, the difference is that your partner may well be on the other side of the world. This will require governments to keep the intelligence and police functions and organizations separate. A challenge that only trust between people can create and maintain. 

In the end cybercrime efforts will be judged by empathy towards the victims and effectiveness in terms of catching the criminals. 

The focus should always be on the mind not the weapon. 

As said, the trust issue pits politics vs legitimate security issues. Sharing information through access to updated databases on fingerprints, facial recognition, and criminal records is necessary for the police function but brings up concerns about national security. 

The judgments of individuals as to what is appropriate to share in terms of context, criminal statistics, and individual data will be needed. Ironically, this is not something that an AI can not make foolproof. When a police officer sees a name or a criminal pattern they recognize in a case from another jurisdiction it creates an opportunity. For example, the problem with Interpol is it offers information without context. As an organization it is dwarfed in size by the enforcement groups it works with, but without effective liaisons, the efforts can be blunted. 

Many criminals go abroad claiming they are political dissidents. They will claim that their criminal records are false. The only solution is to let experience create trust, it takes time but once established it will establish a stable bond between law enforcement agencies. 

The flood of refugees is also creating opportunities for criminals and terrorists.These have to be dealt with humanly, but also prevent them from being used as infiltration points for terrorists and criminals. 

Better shared data is required. 

The use of Block-Chain, real name linked biometrics would greatly enhance security and predictability. 

Trusted information is always the most effective approach.

The use of sovereign digital currencies in addition to their economic benefits will start a new chapter in fighting crime and terrorism. 

From Bitcoin to Monero  

The problem is anonymous crypto payment and exchange systems have become a major pillar of physical and cyber crime. The solution in three parts 

● Support Digital Sovereign Currencies 

● Require Real Name Registration 

● Criminalize all virtual and crypto currencies that allow anonymity 

China’s Approach 

In 2020, non-cash transactions in China represented 80% of payment transactions in 2024 it is 97%.

The PBOC has stated that the goal of launching digital RMB is to partially replace cash, but not bank deposits or privately run payment platforms. 

China’s Digital RMB in combination with Real Name Registration, and criminalizing of virtual and crypto currencies that allow anonymity, will reduce theft, money laundering, gambling, corruption, organized crime, and terror financing, as it improves the recording and efficiency of financial transactions and government revenue collection. 

Digital money trails would make it extremely difficult to pay for, receive, or transfer money for criminal or terrorist activities. 

Sovereign digital currencies would record all transactions and their relationships, making it easy to flag unusual transactions. The same would be true for terrorism funding. 

An additional benefit is digital RMB will allow the government to have real-time integrated dashboards that allow it to understand and control its expenditures, revenues, inventory, monetary and fiscal policies. 

For China the benefits would be in proportion to its size, as financial controls have always been an issue. Accountability would be increased and costs for audits decreased. 

Real Name Registration, which is already in place for individuals and companies, will tie the records of individuals and companies’ income and revenues, eliminating the need for audits and allowing the government to tax at transaction points. It will make it difficult to have unexplained income or unverified expenses, but lower the time and expense of getting loans. 

A commercial benefit would be the use of Smart Contracts, which would decrease transaction costs. 

A smart contract is a form that parties need to complete to create a valid contract. The contract assigns risks to the specific party’s or an agreed third party. 

The contract is then monitored by a virtual agent that makes sure the terms are being followed in real-time. This could only be implemented using a digital Sovereign currency. 

Example, Party A makes cell phones, Party B wishes to purchase 100,000 cell phones. 

They would fill out a standard smart contract for purchasing. The smart contract has standard terms that assign responsibility to one Party or the other. 

If there is an issue regarding responsibility, for instance logistics costs, the responsibility can be assigned to a third Party in return for a fee.

Once the smart contract is completed, an algorithm will monitor the progress of the contract and let both sides know if there is a problem. 

For instance, if Party A needs to purchase specified components for the phones, and to begin production by a certain date to comply with the terms of the contract and misses that date, both parties will be notified and they can either agree to an extension or damages can be assessed. 

On the other side, if Party A is on track to deliver the phones and Party B does not have the required funds to pay for them, both sides will be notified. 

Funds transfer based on the satisfaction of the terms of the smart contract, preventing payment delays. 

Smart Contracts and the parties involved can then be tracked using algorithms, giving law enforcement the ability to see patterns and problems in advance. 

Criminalizing virtual and crypto currencies would be best accomplished through international agreements. 

Anonymous transactions are not a right and while there are privacy concerns the damage to society from crime and terrorism far outweighs the desire of individuals to hide their wealth or purchases. 

Sovereign digital currencies would facilitate international trade by reducing costs and uncertainty. They would not be a threat to other sovereign digital or physical currencies, as like current paper fiat they are limited to the nation of issuance. But, they would represent a more efficient alternative. 

As Li Bo, deputy governor of the PBOC, stated the “goal is not to replace the U.S. dollar or other international currencies”.

Keep this in mind, the world needs a coherent police response to digital crimes and criminals or governments, their companies, and people will suffer. 

Internationally, the police function in the war against cyber crime will ironically depend on trust and communications between law enforcement departments and personnel in different parts of the world. Creating and maintaining trust and deciding what information is shared will continue to be a human, not algorithmic decision, in order to balance internal and external security concerns.