1. 「 Can Currency Go Beyond the Nation? 」
～ Network Society and The New Currency
June 14, 2014
The University of Tokyo
Graduate School of Interdisciplinary
Information Studies
Yohei Yamaguchi

2. 2
Self-Introduction
• A boy who loved art and literature but ended up in the Faculty of Political Sciences and Economics. Experience
the reality bite there.
• Joined the department of consulting in Tomatsu (accounting firm) in 1999. Engaged in M&A
• Transferred to Andersen & Andersen in 2000. Big boom time of foreign capitol coming into Japanese market.
• Left the industry in 2004.
• First published book about the investment on stock market became a bestseller in 2005. Start up own business
on IR education. Sold the business in 2010.
34 year-old
（ 2010 ）
18 year-old
（ 1995 ）
Enter Waseda
University
Start up the business
To challenge the capitalism
43 year-old
Joining the world
of M&A
（ ex. GM/Isuzu
Kanebo, Daiei ）
Sold
business
Born as a second son
My name Yohei derives
from the philosophy word
“sublation”
and “peace”
0 year-old
（ 1975 ）
▲
Oil Shock
▲
The
Collapse
of Bubble
Economy
▲
The Big
Bang
▲
Lehman Shock
▲
Today
▲
Crimes by
Aum
Shinrikyo
Cult
Kobe Earthquake
70 year-old
Philosophical days
・・・
38 year-old
Re-debut as a
creator of the
business
（ Form the
trading market of
the knowledge
secret ・・・
secret ・・・

3. 3
My Business Model
• Create business under the mission of “to provide the energy toward the creative
potential”
Blue Marine Partners Co., ltd.
Writing/
lecturing
Business
creation
• Medical HR
development
in Vietnam
• Healthcare
／ Lifelog
• Bank of
Mitsubishi
• University
of Tokyo
• Keio high-
school
• Diamond
• Asky
Shares
Co., Ltd
• Web
business
• Value
Matrix
• Gift
• Firms
• opentime
Consulting
• Business
strategy
• Capital
policy
• Social
system
design
investment
Provide the energy toward the creative potential
Cool Japan
in
Hoi An
Ispace.inc
• Moon-
probe
project
「 HAKU
TO 」
• R&D of
the probe
robot on
polar
exploratio
n
investment investment
• Retail
business
in Hoi An
• Intern-
ship
business

4. Does economy require currency?
• What is currency? The premise and the definition
– History
– Limitation (in terms of the communication)
– What is about
– To what extent, it reaches the stage of “currency”? Does it mortal?
– What makes it work as “currency”?
• New currency
– Go beyond the nations （ BitCoin ／ Attempt of local currencies ）
• Non-monetary economy （ The economy which doesn’t use the currency; its potential
and its limitation)
– Gift economy
– The potential of network economy
– Time Republic
4

5. 5
Q: What does money mean to you?

6. 6
What is money?
• “Ultimate reality”
• “It is necessary to do anything”
• “Money is a social voting right” （ Dai Matsumoto, the president of
Monex)
• “Money is energy” （ Joseph Campbell, the author of ‘Power of
Myth’ ）
• “Quantified value” （２ｃｈ）
• “Power”
• “Potential”
• “The deviation value of the capitalism society” （ The president of a
venture company ）
• “The cause of the idleness and the result of exploitation” or “the
cause of potential and the result of contribution”
• “Moneys is a truth drug, which reveals the human nature”
• ・・・

7. 7
Money as a communication tool
• Money is one of the communication tools in the society. It is a common language in the society.
– “Money is more global than English” (advert from Nikkei Veritus)
– “You will be fine as long as you take your credit card and cash”
• Money has high multiplicity use but very little depth as the communication tool.
money
languages
（ its spirit ）
Multiplicity
of use
Depth
body
language
value/
religion ？
love ？

8. 8
“the monetary money” is expanding as quantity
• During the year 2000 〜 2006, the growth rate of the real economy is about
1.4. However that of the monetary economy is triple the amount.
Year 2000 Year 2006
（日本政策投資銀行 鍋山徹 ファイナンス稲門会講演資料『成長市場をみる三つの目と人間力の 3 要素』をもとに作成）
About 570 trillion USD
About 70
Trillion USD
About 190
Trillion USD
About
50
Trillion
USD
Trade
Global
money
GDP
blue ； the real economy
orange ； the monetary
economy
Derivative
market
Drastic increase

9. 9
The multiplicity of use of the money is also
expanding; are we selling our soul?
• Division of labor through the currency has become more and more advanced,
which makes your labor less and less.
• What about the things you cannot let others do for you. What can money buy
and what cannot? Where is the border?
– Land in the moon （ 3000JPY ～） and island in South
– Network business and headhunting CEO
– Cornea （ 30,000 USD), liver(130,000 USD), heart(150,000 USD)
– Virgin (10,000 GBP) and cord blood
– Waste or the right to emit CO2
– Backdoor admission (5million JPY) or a decision of “not guilty”
– A couple buster (1.5 million JPY) and matchmaking business(300,000 ～ JPY)
– Holding patent right on DNA

10. 10
What will happen to the money?
• The money used to be just a medium of exchange. However, it has reached
to the stage that it can replace the value of human being….what happens
next?
Self-
sufficiency
Medium
of exchange
Value
index
Value itself
Socialdevelopment
Where money locates
The age of
specialization
Monetary
economy
Capitalism
Collective
conscious
Organic
society
Money will be merged into the
world and it has become as
numbers or symbols nothing more.
Production
factor
A turnabout of monetary economy and
The real economy takes place at this point
Money decides
everything ！
Money becomes
the component
part of the vision

11. 11
The change of the foundation of money
creditGold/mineral
money
Nation-state （ sovereign ）
before present
Credit creation
money money money money money
future
credit
Credit creation
money money money
corporates
（ global companies ）
individual

12. 12
Three-layered structure of the world
bonding
（ network ）
corporates
（ global companies ）
Nation-state
（ sovereign ）

13. 13
The 40% of the top 100 GDP in the world are “corporates” The List made by
Masahiro Kotosaka/All the GDP and sales are nominal values
Rank Country/Company GDP/Revenue
1 United States 14,657.80
2 China 5,878.26
3 Japan 5,458.87
4 Germany 3,315.64
5 France 2,582.53
6 United Kingdom 2,247.46
7 Brazil 2,090.31
8 Italy 2,055.11
9 Canada 1,574.05
10 India 1,537.97
11 Russia 1,465.08
12 Spain 1,409.95
13 Australia 1,235.54
14 Mexico 1,039.12
15 Korea 1,007.08
16 Netherlands 783.29
17 Turkey 741.85
18 Indonesia 706.74
19 Switzerland 523.77
20 Poland 468.54
21 Belgium 465.68
22 Sweden 455.85
23 Saudi Arabia 443.69
24 Taiwan Province of China 430.58
25 Wal-Mart Stores Inc. (NYSE:WMT) 421.85
26 Norway 414.46
27 Austria 376.84
28 Argentina 370.27
29 Royal Dutch Shell plc (LSE:RDSA) 368.06
30 South Africa 357.26
31 Islamic Republic of Iran 357.22
32 Exxon Mobil Corporation (NYSE:XOM) 341.58
33 Thailand 318.85
34 Denmark 310.76
35 Greece 305.42
36 United Arab Emirates 301.88
37 BP plc (LSE:BP.) 297.51
38 Venezuela 290.68
39 China Petroleum & Chemical Corp. (SEHK:386) 290.11
40 Colombia 285.51
41 Toyota Motor Corp. (TSE:7203) 241.97
42 Finland 239.23
43 Malaysia 237.96
44 Portugal 229.34
45 Hong Kong SAR 225.00
46 Singapore 222.70
47 PetroChina Co. Ltd. (SEHK:857) 222.26
48 Egypt 218.47
49 Nigeria 216.80
50 Israel 213.15
51 Ireland 204.26
52 Chile 203.32
53 Czech Republic 192.15
54 Chevron Corporation (NYSE:CVX) 189.61
55 Philippines 188.72
56 Total SA (ENXTPA:FP) 188.37
57 EDF Trading Limited 187.66
58 ConocoPhillips (NYSE:COP) 179.16
59 Pakistan 174.87
60 Shell Trading International Limited 174.11
61 Volkswagen AG (DB:VOW) 170.13
62 AXA (ENXTPA:CS) 164.94
63 Romania 161.63
64 Algeria 160.27
65 Peru 152.83
66 General Electric Co. (NYSE:GE) 150.21
67 Glencore International plc (LSE:GLEN) 144.98
68 New Zealand 140.43
69 Kazakhstan 138.43
70 Samsung Electronics Co. Ltd. (KOSE:A005930) 137.95
71 Ukraine 136.42
72 Berkshire Hathaway Inc. (NYSE:BRK.A) 136.19
73 General Motors Company (NYSE:GM) 135.59
74 Eni SpA (BIT:ENI) 132.73
75 Kuwait 131.32
76 Daimler AG (XTRA:DAI) 131.09
77 Qatar 129.49
78 Hungary 128.96
79 Ford Motor Co. (NYSE:F) 128.95
80 Petroleo Brasileiro (BOVESPA:PETR4) 128.45
81 Hewlett-Packard Company (NYSE:HPQ) 127.16
82 Nippon Telegraph & Telephone Corp. (TSE:9432) 125.70
83 E.ON AG (DB:EOAN) 125.31
84 Allianz SE (DB:ALV) 124.28
85 AT&T, Inc. (NYSE:T) 124.28
86 Carrefour SA (ENXTPA:CA) 120.49
87 Gazprom Open Joint Stock Company (RTS:GAZP) 117.83
88 Hitachi Ltd. (TSE:6501) 116.49
89 Assicurazioni Generali SpA (BIT:G) 116.32
90 GDF Suez (ENXTPA:GSZ) 113.28
91 Nestlé S.A. (SWX:NESN) 111.97
92 Honda Motor Co., Ltd. (TSE:7267) 110.97
93 McKesson Corporation (NYSE:MCK) 109.87
94 Panasonic Corporation (TSE:6752) 109.10
95 E.ON Sales & Trading Gmbh 108.39
96 Verizon Communications Inc. (NYSE:VZ) 106.57
97 Nissan Motor Co. Ltd. (TSE:7201) 105.50
98 LUKOIL Oil Company (RTS:LKOH) 104.96
99 Bangladesh 104.92
100 Siemens AG (DB:SIE) 104.53

14. 14
（ Ref. ） The comparison of the currencies issued by the private companies in
Japan
• Edy comes top followed by Suica. But iD by NTT Docomo and WAON by AEON increases their
circulation.
（ Reference ： NIKKEI, Press releases, individual
PASMO
（ PASMO 協議会加盟事業者）
12.99M
（ 2009 年 7 月末）
8,477 shops
（ 2009 年 1 月末）
WAON
（ AEON ）
10.60M
（ 2009 年 7 月末）
28,500 shops
（ 2009 年 6 月）
nanaco
（ Seven ＆ I HLDGS ）
About8.9M
（ 2009 年 9 月 1 日現在）
27,541 shops
（ 2009 年 9 月 1 日現在）
Edy
（ビットワレット）
51.4 M circulation
（ 2009 年 9 月 1 日現在）
153,000 shops
（ 2009 年 9 月 1 日現在）
iD
（ NTTDocomo ）
10M people
（ 2009 年 8 月時点）
約 42 万 terminals
（ 2009 年 7 月末）
No. of circulation No. of shops where have terminals
Suica
（ JR East ）
26.81M
（ 2009 年 7 月末）
59,220 shops
（ 2009 年 3 月末）
Rakuten card
（ Rakuten ）
50M people
（ 2009 年 2 月）
10,304 shops
（ 2009 年 10 月）
Tpoint
（ CCC ）
About 3,319 people
（ 2009 年 8 月末）
約 29,000 shops
（ 2009 年 8 月末）
Lawson point
（ Lawson ）
About 7.50M people
（ 2008 年 10 月末）
N/A
ANA Mileage Club
（ ANA ）
About 18M people
（ 2009 年 1 月末）
90,000 shops
（ 2009 年 1 月末）
JAL Mileage Bank
（ JAL ）
20.69M people
（ 2008 年 12 月末）
N/A
40M circulation
70,000 shops

15. 15
Transition of the characteristics of the currency: from “gold”
to “bit”
• The currency has been changed its form and characteristics and has increased its
liquidity.
• In future, the currency will be issued without authority more and more. It will be
embedded in the information flow and melt into the world. There will be lots of “half-
matured” currency in the process of currency making and they will be connected to each
other.
Credit outsourcing happens
very often
Outsourced credits
(currencies) which are similar to each other
stick together and
expand themselves
The credit melts into the information (web)
as to become symbols and numbers
Blog, publishing, point-system
Social trading ﾞ・・・

16. 16
The world moves on to the stage where the credit” issued by individual” will“ “
be more focused and cherished
Capitalism Credit Economy
goods
credit credit
goods goods goods
credit
trade
currency
collateral
collateral
trade
network
credit
goods
credit
goods
credit
goods
credit
goods
credit
goods
credit
goods
Ａ Ｂ Ａ Ｂ
（＊） unstable credit
→

17. 17
Multi-polarized Money
The peak of market share of money in communication market will be 2015 and it will
decline in future
The market share of money in the communication market
20082005 20151980
Collapse of Subprime Loan
2050
Bubble
Economy
and its
collapse
Economy
based on
seniority
Highly
networked
Information
society by
IT innovation
The market share
Money
The market share of
non-monetary economy
Totalamountofcredit

18. The ratio of majority/minority has become 6 ：４
• Big changeover the ratio between the majority and the minority in Japanese society
18
Majority
NEET （ 600,000 people), Young temp
workers, LGBT （ one out of 15 people),
Single mother （ 700,000 people ） , Elderly
people who live on his/her own (1 million
people), People with annual income below
2M JPY （ 10 million people …）
Minority 40 ％
60 ％
Full-time employee, employees of the big
corporates, public sectors, professionals
and their family

19. “Vertical” and “Horizontal”
• The established system of majority→Vertical
• The counter system of marginalized minority→Horizontal
19
Majority
Vertical/hierarchical system
“Absorb” from the lower and “shower” from the top
Senior people
Next senior people
Common people
Minority
Money/Time
Horizontal system
Distribute/share the necessary
resources on a case
by case basis
Collect and distribute
Resources
Verticalpipeline
Majority Minority

20. The philosophy of “vertical system” belongs to the majority
• Basic principle is “absorb from the bottom and shower from the top”, which has been
established already
• The majority provides “commodities (such as money, vote, energy)” which is necessary for
their living (food, clothing, and housing)
• Very convenient system when you are in survival mode
20
Majority
Senior people
Next senior people
Common people
Money/Time
Verticalpipeline
Top-down system is the basic principle of the
majority ・・・・
•Money
•Energy
•Vote
•Policy making

21. The philosophy of “horizontal system” belongs to the minority
• The minorities are marginalized and decentralized. It has to be connected horizontally. The
internet allows and strengthen their horizontal ties
• Mutual aid system, which is suitable for satisfying the social desire of human being (desire
for acknowledgement and bonding)
• Not suitable for distributing the commodities based on the mass production
21
Horizontal distribution/sharing is the basic
principle of the minority ・・・・
•Money→crowd-funding
•Knowledge/information sharing
•Energy→smart grid
•Policy making→grass root system
Minority
Collect and distribute
Resources

22. Structure of the human desires and the social system
• What are we longing for? In accordance with the shift of our desires, the social system also
moves on to the next stage.
• Desire of the survival is NOT the instinct of human beings nowadays. It is imprinted habit in
today’s world. We rather ask for the social desire.
22
Survival
（ food, clothing and housing ）
Acknowledgement
（ identity, respect ）
Creation
Structure of desires Range of human rights
20thcentury
21stcentury
Social system
Vertical society
（ Money is the common language
Horizontal society
（ Heart is the common language
？

23. 23
Perspective on the new industrial structure and related companies
• Clear divide on “consumption function” and “consumption bond” in 21st
century consumption
behavior.
• More suitable way to look at the industry is “Which desire do they respond on?” rather than “What
do they sell?”
Desire to
survive
（ Infrastru
ct-ure ）
Social Desire
（ Recognition/bonding ）
Self-fulfillment
Desire （ creation ）
Uniqlo
United
Arrows ・
ＳＨＩＰＳ・
Beams
Seven ＆ i
Watami
message
（ elderly people
care home ）
Clothing HousingFood
CookPad Share house ・
airbab
Mass-automatic
supply system
established by
big corporates
（ consumption function ）
New business
model on
21st century
aim to meet
this desire
（ consumption bond ）
Capitalism cannot
reach
Finance Retail
Seven
Bank
Kiiva ・
Prosper ・
StarBucks
Village
Vanguard ﾞ
Seven ＆ i
Aeon
What do they sell?
Whichdesiredotheyrespondon?
IT
Gree
DeNA
MS
google
23
Member’s
only club

24. Summary of capitalism society (vertical) and network society
(horizontal)
• Everything is different between vertical and horizontal society
24
Capitalism society
（ vertical ／ economy based on divide ）
Network society
（ horizontal ／ economy based on harmony ）
Literacy
Common
language
Money （ numerical number) Heart （ individual ）
Credit （ contract/value supply) Trust （ unconditional ）
Value
Verbalized Not visible/Trasnient
Class
“Hub” is overwhelmingly strongGo upper, you become
stronger
Response
• Build up the unit
which is quantified
and comparable
• Keep building up the
bond and trust, not
be able to quantify
nor comparable
Purpose
Operation Innovation

25. There are only 2 ways to consolidate the resources
• Energy=consolidated resources
• Only 2 things can lock up the resources: “numerical numbers” or “individuals”
• Money is about numbers and it embed the credit and the value inside that membrane.
• “Individual” in English means that you cannot divide it anymore. It is the smallest unit. You
can also embed the trust and value inside that unit.
25
Numbers
123456789..
Individuals
（ individual ）
cannot divide
The common language of
the vertical society
「 Yen 」
The common language of the horizontal society
「 En 」 (bond)
No “friction” Be able to convey “context” and “value”

26. 3 issues that horizontal society has and its solution
• １． The cost/pain of “friction”
Need to come up with the idea of reduce this cost/pain to keep running the horizontal society
For example ・・・
• Expose
• Not negotiate
• Believe the butterfly effect of the value
• Not block others
• Make the process open
• Mange the distance
• Make commitment (make contract/manifest) if necessary
• Respect all your surroundings (do not see things vertically)
• ２． Weakness can be turned out as “power” ex) failure of the communism
• ３． Since “hub” becomes overwhelmingly strong in the horizontal society, it could be
easily misled to radical fascism or cult if you allow winner-take-all rule.
26

27. （ Supplementary Note ） Innovation is about “friction”, it always starts
from the extreme scenario and the marginal edge
• Friction doesn’t mean something negative. Rather, it is a starting point of the innovative
evolution.
Core
Mainstream
Periphery
Extreme
Reality
New idea occurs through the
Friction which is exposed to
the reality

28. Maturing of a New Community through proliferation of the Horizontal
Society （ 2010~2020 ）
• Going through periods of disconnection and uneven distribution/opened, we have reached
the period of “multilayered community”.
28
Period of disconnection Period of uneven distribution/opened Period of multilayered community
Nation ・ Corporation Google
Global capitalism
Facebook
（ transitional
period ）
・ Small-sized, local community
・ Values
・ Skills （ Guild)
Multilayered, portfolio typeWindows
（ transitional period ）
Sharing
The door to the world

29. How Do You Keep Your Identity in the Horizontal Society?
• The importance of new way of looking at yourself as you belong more than 1
communities at the same time.
• The concept of being “dividable”.
29
Family ・ Share House
Workplace ・
Colleagues
Community that meets your value
What would happen to your identity if you belong
to different communities at the same time?

30. The Concept of “Dividable Man”
30
True
Self
• Being “dividable man” is to think that you are a portfolio which made of multiple
personalities.
There is a “true self” in the core of you.
You just use different masks (personas)
according to the situations.
There is NO “true self”.
You are a combination of multiple
personalities (portfolio)
Old concept of self
（ Persona: Mask Theory ）
New concept of self （ Dividable Man
Theory ）
Endless seeking of “true self” No need to search for the true self.
Much easier to live your life.
Mask A
Mask B
Mask C

31. Learn How to Establish A Happy Lifestyle in the Horizontal Society from
Alfred Adler’s “Individual Psychology”
• The Importance of Feeling of Inferiority
• Overcoming Superiority/Inferiority
• 7 Principles to Live in the New World
– １． Be aware that all you worries/concerns are attribute to the human relationship issues.
– ”２． Disconnect the Issues”: Do not mix up with your issue and that of others.
– ３． Being free is to be disliked by others.
– ４． However, they are not your enemy. Be connected to others. They are your team mate.
– ５． Accept who you are.
– ６． Trust other people. The trust should be unconditional.
– ７． Happiness is the feeling of contribution and it is based on the premise of the freedom.
• Apply and practice the above principles on fields of your work/friendship/love.
31

32. My Suggestion
• Reduce the time you spend for the Vertical Society as little as possible!
– Make your relationships as much as efficient with money which is a language of the Vertical
Society.
– Boost your unit value per hour (ex. 100,000 JPY per hour!)
– Reduce your fixed expenses (food, cloth, housing) that consume your money as much as
possible.
– Join the Horizontal Society which you find interesting/feel passionate about (volunteering,
community work, starting up business etc.)
– Invest your spare time to the Horizontal Society as much as possible.
• Be Brave to Open Your Heart!
– Write down all your complex that you feel negative about such as your appearance, dark
history of your past etc. Expose them little by little and not hold on to them.
– Try to be open mind to the people or things you dislike one step at a time. Go beyond the
borders of yourself.
• Take Step by Step!
– Forgive yourself, who might be an ordinary, not so talented loser. Accept yourself as what
you are now. Just build up from zero one by one, step by step.
– Do not compare yourself with others, but do compare with yourself in future.
32

33. 33
References
• F.A. Hayek “The Road to Serfdom”
• Katsuhito Iwai “To Whom does the Corporation Belong? “( 『会社は誰のものか』 )
“What will Happen to the Corporation from Now on?”( 『会社はこれからどうなるのか
？』
• Hirohumi Uzawa “Social Cost of Automobiles”( 『自動車の社会的費用』 )
• Atsunori Kawamura “The Last Word of Ende” ( 『エンデの遺言』 )
• Karl Marx “Capital”
• Katsumi Hirakawa “The Illness so called ‘Limited Company’”( 『株式会社という病』
)
• Andre Comte-Sponville “Le Capitalisme est-il Moral?” (Does Capitalism have Moral?)
• David Pitt-Watson “The New Capitalists: How Citizen Investors Are Reshaping the
Corporate Agenda”
• Rachel Carson ”The Sense of Wonder”
• Haruki Murakami “Dance, Dance, Dance” ( 『ダンス・ダンス・ダンス』 )
• Charles D. Ellis “Capital”
• G. Edward Griffin “The Creature Jekyll Island”
• Jean Peyrelevade “Le Capitalisme Total”

34. My bibliography published in 2013
34
Thank you!