Headlines from This Week: Mercari Pops, FSA Makes a Move, AirBnB Takes a Hit
Originally published on 6/25/2018
Mercari in the News
Mercari, a Tokyo-based global flea market app, jumped 77% after a successful IPO
Some concerned quotes amidst the excitement from Bloomberg on the newly-crowned Japanese unicorn and startup scene:
“I hate to spoil the party…it should keep going well for another couple of months at least…but you’ve got OfferUp, letgo, Poshmark…there’s nothing really that differentiates Mercari from the pack.”
— Andrew Jackson, Head of Japanese Equities, Soochow CSSD Capital Markets
“You quickly realize [Japan’s] a very tech-savvy culture, but why is it though, that the tech startup scene is almost Jurassic?”
A few more for Mercari:
- How did Mercari get here? A talk by CEO Shintaro Yamada during Mercari’s IPO press conference.
- Could Mercari be a role model for future Japanese tech startups?
- Can’t get away from alternative transportation: Mercari rolls out on-demand bicycle service in Fukuoka City.
Financial Services Agency Slaps Crypto Exchanges
The Japanese Financial Services Agency sent business improvement orders to 6 crypto exchanges — bitFlyer, Quoine, Bitbank, BITPoint Japan, BtcBox, and Tech Bureau.
The reason behind the orders? The lack of transparent controls that could’ve led to money laundering, and an investigation that concluded organized crime groups had used one of these exchanges.
Is the ethos of crypto compatible with centralized, government regulations? This might be another one of Japan’s key point of divergence from the rest of the tech world, similar to what happened with Uber and AirBnB once they entered the Japanese market with their Silicon Valley gusto, only to realize people strictly follow rules in Japan.
What the Japanese media is saying about it:
- Sankei News
- BTC News JP
- Techwave: FSA Order Reasons for Each Exchange
- Techwave: Details from bitFlyer
Like A Phoenix from AirBnB’s Ashes
The recent strengthening in regulatory tone for home sharing in Japan has financially damaged AirBnB to the tune of $10mm. But there are businesses out there eyeing to rise from the ashes of AirBnB, taking advantage of this newly-created lack of supply and market confusion.
A few Phoenixes from the article:
- Spacee: A shared office space company refitting AirBnB rooms into meeting rooms.
- Residence Tokyo: A serviced apartment company renting former AirBnB rooms into monthly rentals for business travelers.
- Jimoty: A Japanese classifieds site hitting records this week for selling former AirBnB furniture.
You and me both, buddy:
“We are puzzled and disagree with the decision of the Japanese government.”
- Chris Lehane, Head of Global Policy and Public Affairs, AirBnB
