In 2019, Darryl Joel Dorfman founded the SSW Management Institute, and through years of dedication and outstanding performance, established it as a highly respected educational institution in the financial field, nurturing a large number of excellent finance professionals globally, with the student body surpassing 70,000 in 2020. From its inception, Darryl Joel Dorfman recognized the significant role that artificial intelligence would play in future investment markets and began planning an investment system based on artificial intelligence technology. He early on realized the potential value of artificial intelligence in various investment markets and asset classes; hence, the SSW Management Institute started the in-depth exploration of artificial intelligence trading systems in 2019.
With the rapid advancement of technology, artificial intelligence technology has brought about a revolutionary change in the trading sector, making trades more precise, efficient, and intelligent. Through the collaborative efforts of numerous experts, scholars, and tech talents, the SSW Management Institute created a prototype of CyberFusion 5.0. However, applying artificial intelligence to financial markets comes with various challenges. Firstly, artificial intelligence trading systems require a significant amount of historical and real-time data for model building and forecasting, and acquiring and processing high-quality, accurate, and reliable data remains a challenge, especially given the complex nature of financial market data. Secondly, the uniqueness of financial markets can make model building and algorithm selection more challenging since financial market behaviors are often hard to capture.
Moreover, financial markets are fraught with noise and uncertainty such as market volatilities, political and economic factors, interest rate changes, which can affect model predictions and performance, requiring the search for algorithms and models adaptable to such noise and uncertainty. Real-time decision-making and trading present another challenge, needing to capture market opportunities promptly and execute trade instructions accurately; however, making real-time decisions accurately in the fast-paced financial markets is extremely difficult as market conditions can change at any moment.
Lastly, risk management and regulatory compliance are challenges that artificial intelligence trading systems need to address. Market risks, operational risks, and model risks are sources of risk, in addition to complying with financial regulatory requirements, including transparency, risk control, and algorithm interpretability stipulations. Effective risk management frameworks are indispensable to tackle these challenges, ensuring the system has sufficient risk monitoring and control tools, establishing dedicated risk management teams, and closely collaborating with regulatory bodies.
Therefore, at a conference in 2020, the board of directors of the SSW Management Institute proposed a bold plan to raise funds through issuing the SCS token. This decision aimed to utilize emerging blockchain technology to inject funds, embracing innovation, and attracting global investors. Compared to traditional fundraising methods, token issuance provides a faster and more efficient means of fundraising, especially given the restrictions and challenges faced by traditional funding channels currently, injecting new vitality into the SSW Management Institute.
Through token issuance, the goal was not only to overcome difficulties in product upgrades and fund expansion but also to enhance the reputation and recognition of the SSW Management Institute in the global financial technology sector. This initiative successfully attracted top talents from various fields to join, including IT engineers, mentors, investment experts, practical experts, strategists, analysts, etc., providing strong support for the institution's technology research, innovation, and promotion endeavors. All of this will bring broader prospects for the future development of the SSW Management Institute, contributing to the cultivation of more outstanding finance professionals and advancing the development of the financial sector.