Activity Report Vol.37: Thoughts on the Otaku Coin Project and Proposals for the Future

Advancing the Hands of the Clock to the Future

Why do we on the Otaku Coin Association want to make Otaku Coin a reality? Below, we explain the fundamental reasoning behind it and how it will stir up our current capitalistic world.

The aim of Otaku Coin is to create a community currency used by fans all over the world who love Japanese pop culture including anime, manga, and video games.

In order to make that world a reality, there is a big challenge that must be overcome.

That being to “minimize kickbacks and get rid of middle margins.”

Due to the skillfully devised rules of capitalist economics, we continue to be exploited without being aware of it.

Presently, when you make a purchase using a credit card for goods, tickets, or digital contents for example, a handling charge of 3% to 8% of the total payment is incurred. This handling charge is paid to an intermediary proxy settlement agency. This handling charge puts burden on studios and manufacturers that create content, which, in the end, affects the quality of their content and can have an influence on your own satisfaction level.

For that reason, there may be those who think it’s best to use cash, but the cost of handling cash is even greater. In Japan, the cost incurred at bank ATMs to maintain the machines has risen by 2 trillion yen in one year. Fans are directly and continuously being exploited by these costs in the form of handling charges.

In other words, presently the cost for managing money in a safe and secure manner is very expensive. Also, since settlement agencies and banks are organizations driven by profit and acting in accordance with the rules of capitalism, it is inevitably recommended that a handling fee be charged when “moving” money.

However, this “conventional knowledge” will collapse in the near future. Exchanging money at “less than 1 yen per transaction” is possible using blockchain technology, and we think recent opportunities to see this are increasing even in the news. The conversion rate of legal currency including the yen and dollar to a community currency using blockchain is currently at less than 1% as of 2018, but because the internet spread in an instant, and because almost everyone owns a smartphone, we believe that that conversion rate will surely increase exponentially.

We on the Otaku Coin Association are aiming for a world where handling charges are minimized (or eliminated). This means that profits won’t be able to be increased through payment handling charges, but we don’t consider this a problem at all because when it comes to content creators and fans the virtues of this system are unmistakably clear.

Nevertheless, although there exists blockchain technology which possesses such qualities, we look at the world right now and feel very uneasy that there aren’t projects and services following this approach.

Take, for example, exchanging cryptocurrency. Essentially, if blockchain technology is used, there is no “intermediary” cryptocurrency exchange, and despite being able to exchange currency, these companies take a fee by being an “intermediary” and make an enormous profit.

Despite existing to promote blockchain, they end up working exactly opposite to the ideology of blockchain. What irony, right? It can possibly be said that the sweet honey of capitalism is leading this in the wrong direction. And shareholders who control companies equal capitalists who are whispering the following: “Do what is profitable because yielding a profit is righteous in the eyes of a capitalist society.”

“Don’t be silly,” we think. The capitalists who are succeeding in capitalism are obstructing the future being created by blockchain technology. And they are shouldering the burden of their accomplices without noticing the general manner in which exchanges are used. That’s not the type of future we want to support.

We on the Otaku Coin Association are aiming for an ideal future, the nature of which is rooted in the essence of blockchain, without being boxed into the “conventional knowledge” of the capitalist society which prevails today.

So what should this look like?

We think the best model is one that offers fans something of actual value and gives support to creators in creating content without taking middle margins.

Using that model, creators will have increased opportunities to create works, and a world can also be realized in which the works and characters fans love can continue to live on. We want to “move the hands of the clock forward” by creating a new system using Otaku Coin, starting with the SPIRIT VOTE.

In order to realize that future, we plan to issue Otaku Coin while abiding by the following three guidelines:

Guideline 1: Middle margins should absolutely not be taken

Guideline 2: Fans are more important than investors

Guideline 3: Replace empathy and trust with support

We hope this offered some insight into the Otaku Coin Association’s careful thought process behind Otaku Coin.

To those of you even the slightest bit interested in the world we described:

We would greatly appreciate your support and assisting us in making the world a better place. Even just telling all your friends about what it is we are doing will help us in realizing our goal.

Otaku Coin Association

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