Disińtrèß
Keep yr eyes peeled, folx. It's a Choose-Your-Own-Adventure world out there, and you're already treading some pretty interesting paths.
Brokeass Banks
On the perpetual eve of a supposed technological renaissance, Japan's Zengin banking system faltered for 2 whole days. 5 million some financial transactions halted. An unbelievable development if it weren’t already prefaced by various other banking institutions reliably breaking down such as Mizuho’s 11 system crashes in 2021, rendering their ATMs useless, which they still haven’t rectified the situation (thanks, Tokyo Fintech). As such, its very easy to see this most recent breakdown not as a glitch, but as a reflection of the deep, crusty knots of spaghetti that make up the guts of Japan’s IT infrastructure. This particular episode was, I think, a bit more egregious than previous ones, but though its caliber may have been more pathetic than previous instances by a decent measure, it still accomplished the same feat of further exposing the critical rot that flows through the digital bowels of Japan Inc. How ironic for a country known for its technological prowess.
The Zengin system, kind of the singular cornerstone of Japan's financial ecosystem, while quaffing greatly from its cup of putrid spaghetti sauce, hiccuped immensely on the fermented dregs of a leftover recipe the ingredients of which simply don’t exist anymore, and this then sent flecks of disgusting spittle across a nation heretofore forcefed the rotten feed. And yet there’s only so much coverage, so many notices, of an event that is really disgusting.
The belches echoing across Japan's ageing IT infrastructure are a familiar gurgling. And, really, once yr stomach is uneasy for a few days, you kind of just roll with it until it passes, yeah? And so these unsettling rumblings have continued, not so much in appreciation of them, but in acquiescence to. But these gurgles portend something deeper, not just putrid policy soon to pass flatulently, but of something more explosive. The Zengin breakdown was a loud echo within the gassy chambers of Japanese commerce, reverberating stinkily through the silent halls of Japan Inc. and into the face of The People. It revealed a startling reality - the rot that persists is not inert, but flows toxically being through a system ill-conceived to be nurtured by it but cause it to produce miasmic symphonies of financial spasms at a higher and higher frequency.
But the issue transcends mere technological obsolescence or scatological metaphor (cheers to me on that extended exploration, btw!). It's about a learned behavior that stifles vocal mobilization for change. The accepted modes of expression are straitjacketed, madly bound by the perception that voicing for change is either futile or too rebellious for the harmonious fabric of our society.
And that’s something that also requires unpacking, because shouting into the… face, let’s say… of an eructative Japan Inc., a beast that deterministically consumes and regurgitates methodological toxicity with frightening reliability, is, indeed, insane, making the straightjacket reference maybe more appropriate than the long-form fart joke that started this essay off.
The status quo of Japan Inc. is a hefty shackle, and this incident accentuates the dire need for a subtle, yet radical shift in how we operate within the geographical confines of Japan. This is not just about upgrading servers or patching bugs, but about nurturing a culture that encourages proactive dialogue, critique, and innovation.
Because, seriously, the voluminous cesspool of Japan Inc.’s dated practices is already to seeping into the watershed, and apparently is just getting worse.
The Zengin breakdown is not a standalone incident, but a symptom. It a clarion call for recalibrating our approach to technology, societal engagement, and the frameworks that govern them. The path ahead demands a nuanced understanding of our existing infrastructures, an open dialogue on their limitations, and a collective stride towards a more resilient, vocal, and innovative societal framework. This is what Japan’s (not jsut Japan Inc’s) push for digitalization really requires, and without it, it will falter.
The persistent veil of complacency that shrouds the technological sphere in Japan needs to be lifted. It requires a thorough examination of our existing systems, an acknowledgment of their limitations, and a bold stride towards modernization. This isn't just about keeping up with the digital race but about fostering a culture that's receptive to change, open dialogue, and innovation.
And, honestly, that’s simply impossible within the purview of the powers that be. Which isn’t to say that they can’t play a part in it, but they will certainly stifle efforts to quite literally digitally survive if they’re given the reins. There must be collaboration.
Moreover, the societal inertia that hampers vocal mobilization for change is a significant concern. The Zengin incident is a glaring reminder that a lack of active engagement and discourse in the face of glaring technological inadequacies can lead to systemic failures. It beckons a shift from passive acceptance to active engagement, from stifled voices to open dialogues, and from a culture of complacency to one of proactive innovation.
In light of the Zengin breakdown, it's evident that fostering a culture of open discourse and innovation is imperative. The onus is on us to heed this call, to engage in constructive dialogue, and to take collective action towards building a more resilient and progressive technological landscape in Japan.
Do I have any examples of organizations walking the walk? So glad you asked! Of course I do. Their name is Shiftbase, and they’re a real force to be reckoned with.
Without further ado, let’s explore…
Unchain Demo Day!
The most righteous team over at Unchain brought their first-ever incubator to a spectacular conclusion on October 1st over at Web3 Development hub Centrum in Shibuya. They had 13 teams building wildly creative products to address various bottlenecks across the FinTech and crypto landscapes, which are many and very often daunting.
Its this kind of exploration that I find really exciting. And paired with the simultaneous Zengin collapse and FTX trial (Laura Shin’s coverage of it is spectacular), brings up a few really gargantuan questions: if we’re content with constant consternation over whether Japan Inc.’s legacy systems will or will not work - which in my mind is undue stress in an already stressful world - then sit back and relax, but if we’re both interested in relieving that uncertainty as well as legitimately future-proofing ourselves, why wouldn’t we throw a decent amount of energy into pretty audacious experiments?
Here are some highlights:
Yamato Protocol
Yamato Protocol is a novel, overcollateralized stable coin issuance protocol in response to the lack of decentralized protocols for JPY stablecoins. It aims to fill this void by issuing Convertible Japanese Yen (CJPY) pegs using Ether (ETH) as collateral, essentially borrowing CJPY equivalent to Japanese Yen with ETH backing. Key features of this protocol include no borrowing interest rates, no repayment deadlines, low collateral rates of at least 130%, no immediate forced liquidation with the timing of liquidation being user-determined, thereby presenting a user-centric crypto asset-backed stable coin issuance framework. Currently under a test net launch, the protocol has already issued CJPY in its v1, with plans to roll out the governor's token, YMT, in v1.5, and expanding to issue CUSD and CEUR in v2, progressively enhancing the protocol's scope and utility in the decentralized finance landscape.
Zaiku
Zaiku’s an intuitive NFT portfolio creation tool designed to improve NFT collections’ visual representation beyond the conventional display confines of marketplaces or wallets, which is basically another way of saying they make NFTs more interesting. Zaiku addresses these issues by offering a dedicated page creation tool, enabling users to layout their collections flexibly, and embellish them with tags and text elements. By connecting MetaMask to Zaiku, users can effortlessly craft their own NFT portfolio and collection page through user-friendly operations like drag-and-drop and zooming. The page also facilitates trade requests for individual NFTs, adding a layer of interactivity. With a vision to foster a more engaging and expressive NFT showcasing environment, the company plans to offer Zaiku for free, with an array of interactive features slated for future integration.
Commun
Commun, a service designed to issue proof of visitation, addressing the challenge of location forgery and the difficulty in authenticating physical presence with existing technology. This platform leverages blockchain, IC cards, and smartphone apps to ensure a reliable proof of visitation, combating location forgery. The process involves a user holding their smartphone over the IC card, triggering the dispatch of an exchange ticket to the smartphone, which upon following and exchanging with an NFT, substantiates the user's visitation. The platform finds applications across various domains including store visit points, stamp rallies, real event reimbursements, summit certifications, and attendance management. A practical demonstration at the various Tokyo-area events garnered positive reception regarding usability - a perennial problem in the crypto ecosystem. With project members dedicating time alongside their primary engagements, they've managed to design this system cost-effectively. Looking ahead, there's an aspiration to deploy more IC cards to bolster regional development.
Unyte
Unyte was crafted to visualize the contributions of DAOs/community members, addressing the issue of unsustainable member activities within current DAOs. This issue arises from the difficulty in tracking member contributions and the underdeveloped reward distribution systems in many projects. Unyte’s vision is to overcome these hurdles by recording DAO activities, visualizing contribution degrees, and facilitating reward distributions based on contribution history. The tool integrates with a Discord bot to log proposals, task executions, and accolades from members, further offering multiple models to compute reward amounts based on contribution levels, thereby ensuring a fair reward allocation. While a future business model, garnering a commission from the DAO's reward to members is under consideration, the current development steers towards a monthly use model with Fiat. Unyte aspires to foster a realm where DAOs can fully leverage their inherent flexibility of collaborating anytime, anywhere, with anyone, enhancing overall DAO efficacy and member engagement.
Earthless
You know what? Earthless rips, I love outdoor concerts, I’m tired of writing, and this issue has been in production way too long. So, suffice it to say, I saw one of my favorite psychedelic rock bands at a mountaintop temple in rural Nagano and it was so fucking cool. Here’s an excerpt from that show.