The MUFG, the biggest financial group in Japan, has just started a “blitzkrieg” in terms of cryptocurrency. It leaked a strategic intentions to further develop its own cryptocurrency and will even pour it to the real market from the autumn in 2017. To be honest, the majority of the Japanese does know there is cryptocurrencies such as Bitcoin, which is already circulated among both innovators and early adopters in the financial market, but never think of using and holding them by him- and herself. Nevertheless, the situation is just dramatically due to the MUFG’s blitzkrieg. Almost all the Japanese retail customers are forced to take into consideration whether they should jump into the world of cryptocurrencies in the very near future.
This is a quite simple and extremely obvious fact you can find in the reality, however, nobody seems to realize it in the Japanese “local” markets, I think. This week, I visited Matsuyama in the SHIKOKU region and further prepared with HA, my colleagues in charge from a southern island with unforgettable natural beauty, for launching my institutes’ seminar to local company executives and entrepreneurs. Even though we succeeded to gather relevant information to build up our project in the local society, those whom we talked to still hesitate to cooperate with us so far. While they obviously seem to show their great interest in our project, they still hesitate to accept our offer for collaboration and never say “Yes” to authorize the project. Instead of doing so, they keep on the typical Japanese strategy “Wait and see” and ask my institute to give them information as much as possible. Well, it’s quite Japanese way of treating “L’Etranger”: The local people are extremely polite to foreigners but never let them into the local community.
Unfortunately, they are about to be forced to change the attitude. Well, let’s say, within two years ahead. Why? The answer is implied by the second announcement MUFG recently made: The mega bank officially admitted to their intension to give up its special status for underwriting of GOJ’s securities. This “blitzkrieg” simply indicates how the lading bankers in Japan think of the future of JGB currently. It’s just extremely negative, I must say.
Getting back to Japanese local economies, what should be done right now is quite obvious: The local economies totally rely on JGB’s future either directly or indirectly. Thanks to the brilliant past of industrial developments till 1980s even in the local markets and political strategy of dependency afterwards on financial contribution of GOJ (central government) to the local societies, Japanese local banks still hold huge amount of deposit exclusively in the form of JGB. Since time’s begun to tick towards the moment of truth in an accelerated manner, the leadership of local banks actually dare to change their previous customer strategies to tell the truth and lead their own customers to both innovate and become entrepreneurs with new ideas, products and services. And sooner or later, all the local money will have to be changed to cryptocurrencies, facing the hard fact called “default of national debt” in Japan. Without doing so, the value of local people’s asset will drastically decline de facto to “zero”, because it is supported only by the value of JPY, and JPY’s value is supported by JGB, which is to be defaulted officially.
Cryptocurrencies are based only on mutual trust in P2P and has nothing to do with governments. Once cryptocurrencies will be circulated as substitution of JPY, all the infrastructure we’re making use of has to be changed as soon as possible. In this regard, it’s not localities but financial reality that really matters.
This just gives both local company executives and entrepreneurs rare opportunities. They have been disadvantaged because the Japanese economy has been centralized and politics for coordination of economic interest also has been so. The on-going financial revolution endorsed by cryptocurrencies is about to turn the card once and for all. Typical Japanese mentality of dependency on the central authorities is forced to be changed because the revolutionary change to P2P society based on cryptocurrencies decisively empower not the central government but the localities to build up network style of new economy instead of the previous centralized one.
Wise men in the ancient Roman time said: “Take the fortune by the forelock”. My colleagues of the institute and I sincerely hope more and more local company executives and entrepreneurs will dare to break out of their own “invisible shell” in our seminar dedicated to this purpose and begin to lead the future in the local economies in Japan.
My last question: Is there any reason not to join us??
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