Li-Chang Kuo’s SRI for 6 Decades

Written by Peter Li-Chang Kuo

(Chinese)

The "Top Secret of Young A-Chang” was a key factor in America’s victory in the Space Race. The story began in December 1966, when I successfully did business with "Avnet Taiwan Ltd." (ATL), the American-owned Transworld Electronics Company operating in Kaohsiung Export Processing Zone (KEPZ)—Fig 1.

Fig 1: Doing Business with ATL of KEPZ in 1966

When Apollo 1 exploded during a ground test, Apollo 4 directly adopted PTH technology. What makes this story particularly remarkable is that, as early as January 1966, I, Li-Chang Kuo, realized from the “36 Pairs” in the Platform Sutra of the Sixth Patriarch that it was possible to break through physical limitations through a hands-on approach.

Using what I called the “U-shaped replication method,” I developed a precision deep-drawing progressive die, as shown in Fig 2. It enabled the mass production of PTH eyelets meeting the required specifications, helping to save NASA’s Apollo program and its Moon-landing mission. This was the top secret that helped shift the course of Cold War space history.

Fig 2: Li-Chang Kuo completed a precision deep-drawing progressive die by hand as early as 1966

Even more remarkable, in May 1965, when I was only 12 years old, I worked in a traditional earthen house in Tainan, Taiwan. Guided entirely by what I experienced as inspiration from the Holy Spirit, I experimented unsuccessfully with machine oil and peanut oil. I eventually selected "Nanchiao Crystal Soap" and boiled it into a jelly-like, water-soluble fatty-acid sodium lubricant, which I called the “Miracle Potion,” as shown in Fig 3.

This breakthrough overcame the physical limitations of miniaturization. Because of this preparation more than a year in advance, these oil-free, high-draw-ratio PTH eyelets could be delivered in December 1966 and successfully installed in Apollo 4, contributing to America’s victory in the Space Race. It was a remarkable story in which a piece of soap helped turn the impossible into a miracle.

Fig 3: The “Miracle Potion” that turned the impossible into a miracle

Today, AI has integrated Fig 1–3 into Fig 4, illustrating how I, Li-Chang Kuo, launched my precision-industry career at No. 45, Chong-An Street, North District, Tainan City, in November–December 1966. This marked the beginning of my precision-industry enterprise, eventually earning me a nickname “Dr. Blacksmith,” while creating a positive impact on technological development worldwide.

Fig 4: I launched my precision industry in 1966

Fig 5 shows part of the hundreds of products I developed free of charge for ATL between 1966 and 1972, helping Avnet become a “Channel Master.”

Fig 5: A selection of the hundreds of products Li-Chang Kuo developed free of charge for ATL

Later, when I asked colleagues in the United States and Germany to estimate the development cost, they unanimously told me: “It would have required at least US$10 million in development costs.” Moreover, considering the lack of machine tools available at the time, they estimated that producing even the products shown in this photograph would have taken at least 50 years under those conditions. I completed the work in only six years — and gave all of it to Avnet free of charge.

In Fig 6, the three stainless-steel bushings circled in red are particularly significant. On June 1, 1970, John Lane, President of ATL called me by telephone at "06-220882" and asked me to come to KEPZ. He told me that the “Apollo 13 incident” in April had created an urgent need for "stainless-steel bushings" for electromagnetic-interference (EMI) protection. Early the next morning, June 2, I arrived at KEPZ with the three stainless-steel bushings I had produced overnight and delivered them to him.

This contribution helped establish their position at NASA on a firm foundation, while I earned another nickname: “Master Merlin.”

Fig 6: Aerospace and Consumer-electronics Components

In 1974, Chiang Ching-Kuo visited the factory I had built. He called me the “Father of Taiwan’s Precision Industry” and encouraged me to contribute to “People’s Diplomacy” (national diplomacy) by helping Taiwan reach out to the world.

In 1975, I did exactly that: I helped Tainan Mayor Li-Tang Chang and San Jose Mayor Janet Hayes establish a sister-city relationship. At the same time, I began planning the "TPC and its derivative products," including future products such as satellite receivers and PCs, as shown in Fig 7.

Fig 7: Sister-city diplomacy, the TPC chip, and its derivative products

Even as Jimmy Carter sought every possible means in 1978 to bring down the Republic of China (Taiwan), I nevertheless flew to the United States on the very day diplomatic relations were severed in 1979. On March 13, I established the “Blackstone Angel Fund,” through which I completed the development of satellite receivers and PCs, helping lay the technological foundations for the implementation of "Reaganomics" in the 1980s.

Fig 8. “Blackstone Angel Fund” founded in New York

The TranSmart Power Chip (TPC) generated a range of derivative products, including PCs, HDTVs, the C-Phone (a contactless TranSmart card), and its Transaction Reading Device (TRD).

Fig 9 was reported by the "Economic Daily News" and the "Commercial Times," highlighting "K-Horn Science efforts to develop the RF Transmitter (TRD or Toller)." The motivation behind this development arose in 1986. American company “Mattel” had taken the manufacturing tools I had provided, subsequently shut down its "Taiwan plant" (MLT), and left workers unemployed. Some of those unemployed workers turned to taxi driving and were subsequently robbed.

Fig 9: 1989 reports on the “RF Transmitter” and the physical device

My wife, Linda Din (Ding Lin-Hong), then proposed that we should invent: “A cashless system in which taxi drivers can earn a safe living and support their families even when there is no cash inside the vehicle.” The TRD was the key component. It could be used to upgrade the world’s oldest form of commerce — the traditional store — into an electronic store (eStore), addressing structural social problems through technology.

Multiple eStores could be interconnected to form "The eStore System" (TES). Through our efforts at APEC from 1997 to 2009, we developed the concept of a "Global-Channel TES Cashless (C) Economy."

At the 2009 APEC Economic Leaders’ Meeting, we contributed a proposed pathway for “Rebuilding the Global Economy,” as shown in Fig 9. We urged the U.S. representatives to support the implementation of the "President’s Plan to Increase the Spectrum," approved on June 28, 2010, to release 500 MHz of spectrum progressively each year, together with satellite communications support, in an effort to eliminate the economic catastrophe.

Fig 10: The Contribution of APEC CEO Summit 2009

The Financial Crisis was like a barrier lake overflowing, releasing approximately "3 × 10¹³ joules" of destructive energy and leaving tens of millions of people unemployed. At the 2009 APEC Economic Leaders’ Meeting, President Barack Obama lamented that the financial crisis was costing approximately "US$1.9 trillion in one year," as though the money were being thrown into a bottomless abyss.

I was invited to attend the APEC CEO Summit in Singapore, where I contributed a proposal for “Rebuilding the Global Economy.”

I reiterated the proposal to issue "1.7 billion TranSmart Cards" — as reported by the World Journal—and to widely deploy "Transaction Reading Devices" (TRDs, or “Tollers”) in stores, upgrading them into "eStores" and enabling cashless transactions to rebuild the global economy. The objective was to generate positive economic energy of approximately "1.7 × 10¹⁵ joules."

Fig 11: The World Journal report on Social Responsible Investment

This “1.7 × 10¹⁵ joules”of constructive energy generated enormous work and energy transformation in both physical and economic terms. It not only offset the destructive energy of the Financial Tsunami — approximately "3 × 10¹³ joules" —but also fully activated the mass-energy potential of the global grassroots economy.

The destructive energy consumed only "1.76%" of the total positive energy generated by the TranSmart card network system. The remaining "98.24%," equivalent to approximately "1.67 × 10¹⁵ joules," was transformed into kinetic energy for the real economy, enabling traditional grassroots stores around the world to be upgraded into “electronic stores” (eStores). From a thermodynamic perspective, this process represents a spontaneous phase transition of the system from a state of “disorder”— economic confusion and depression—to a state of “high order”— a digitally connected economic ecosystem.

At the 2003 APEC platform, we proposed the "Linhorn Indicator: A = C / GDP = 0.36," the principle was that when global GDP reaches US$100 trillion, the optimal scale of the cashless economy (C) would be approximately US$36 trillion. This target was reached in 2020 during the COVID-19 pandemic, while the TES model simultaneously contributed to eliminating a major global public-health (hygiene) and economic crisis.

Fig 12: The optimal TES model proposed at APEC 2003

However, this same economic energy also enriched the “Gorillas” that exploited intellectual property (IP), causing the fruits of six decades of Social Responsibility Investment (SRI) to be abused.

By 2025, the improperly exploited "cashless (C) economy" had, in our assessment, expanded maliciously to approximately "US$200 trillion," creating a warning signal of a global financial barrier lake. This digital black hole — far exceeding physical GDP — has accumulated an estimated "1.5 × 10¹⁹ joules" of destructive potential energy, equivalent, in our analogy, to the destructive potential of approximately 230,000 Hiroshima atomic bombs hanging over human civilization like a dam waiting to collapse.

Its excessive “financial toll”—including a "3% transaction extraction" and prolonged payment terms — has further contributed to structural inflation and the exploitation of grassroots Main Street communities.

Therefore, the new target of Social Responsibility Investment (SRI) is “iClub” — the Intelligent Commercial Link to Universal Businesses.

iClub” is a global smart-commerce infrastructure built around AICT (Artificial Intelligence and Communications Technology) and LDT (Local Distributed Transactions). Its purpose is to address the transaction costs, supply-chain friction, data silos, and platform concentration that have emerged from the rapid expansion of digital commerce.

The project builds upon the “TES e-commerce and cashless transaction technologies” that have been developed since 1986. It integrates an AICT Control Center, TSCM Smart Supply Chain, VAM Smart Terminals, eStores, and TPC/Edge Computing, transforming conventional vending equipment into intelligent commercial nodes that can conduct transactions, be centrally managed, and connect directly with supply chains.

Fig 13: AICT Control Center

The "iClub" project seeks to raise US$90 million, primarily for the development and deployment of the AICT Control Center, edge hardware, VAM/eStore infrastructure, and TSCM integration.

The preliminary five-year financial model targets an "IRR of 58.6%," a "MOIC of 22.3×," and cumulative cash flow of approximately US$1.118 billion. These figures are preliminary projections and will be further validated through a comprehensive financial model and due diligence process during the formal fundraising stage.

The long-term vision of "iClub" is to establish a global smart-commerce network connecting "People, Business, Government."

By enabling the digital economy to serve the real economy more efficiently, "iClub" seeks to fulfill the mission of a “Possible Trinity”—creating a sustainable economic architecture in which people, businesses, and governments can all benefit. Our ultimate objective is to help build a stable foundation for the next century of global economic development.

Conclusion

From Personal Energy to the Economy: A 60-Year Causal Chain

Energy is not the destination. The true capacity of human civilization lies in how we transform energy into constructive economic activity.

In 1965, a bar of Nanchiao Crystal Soap, a pot of “magic solution,” and hands-on experiments that pushed beyond perceived physical limits opened the path toward Taiwan’s Precision Industry. In 1966, PTH Eyelets and precision molds entered the aerospace supply chain. What began as a seemingly small amount of technological energy ultimately became one of the critical links supporting America’s space race.

Over the following 60 years, we continued to accumulate technology, talent, products, industries, intellectual property (IP), and international connections through Social Responsibility Investment (SRI). From TPC and the TranSmart Card to the TRD, eStore, and TES, we gradually built an energy-conversion chain:

Technology→ Transactions→ Stores→ Supply Chains→ The Overall EconomyNew Tech-Economic System (TES).

The 2009 Global Financial Crisis demonstrated what happens when financial capital becomes detached from the real economy: enormous numbers can become a destructive “abyss.” TES represents an alternative path — redirecting digital transactions toward people, stores, businesses, and supply chains, so that digital energy can be converted into productive capacity in the real economy.

However, when the “cashless (C) economy” loses effective governance and ethical constraints, the constructive energy originally created for society can also be appropriated by the “Gorillas” (intellectual-property predators), expanding from a reasonable economic scale of “US$36 trillion” into the “US$200 trillion financial barrier lake” that we have warned about.

Therefore, “iClub” is not another payment platform. It is the next governance node in this 60-year causal chain. Through AICT + LDT, iClub reconnects people, businesses, and government, bringing transactions back to production, capital back to the real economy, and technology back to serving humanity — restoring a triple-win society.

This is the true causal chain of “Energy→ Economy”:

Transform destructive potential energy into constructive kinetic energy; transform numbers back into productive capacity; and ultimately transform 60 years of SRI (Social Responsibility Investment) into the global smart-commerce infrastructure for the next century.

Energy creates power. Technology gives that power direction. Commerce transforms it into productivity. And the mission of iClub is to ensure that this productivity ultimately serves humanity.

Peter Li-Chang Kuo, the author created Taiwan's Precision Industry in his early years. Peter was a representative of the APEC CEO Summit and an expert in the third sector. He advocated "anti-corruption (AC)/cashless/e-commerce (E-Com)/ICT/IPR/IIA-TES / Micro-Business (MB)…and etc." to win the international bills and regulations.


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opyrights reserved by Li-Chang Kuo & K-Horn Science Inc. (khorninc@gmail.com)

External Links:


The Inventions of “Linda Din

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https://patents.google.com/patent/US20030197061 (Shopping System)

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