Emily Walker
A prominent Japanese figure in the cryptocurrency space has addressed fellow citizens who view Bitcoin as a form of currency lacking intrinsic value.
Koji Higashi, a notable entrepreneur in the crypto domain, stated that skeptics of Bitcoin overlook a significant point regarding the Japanese yen, which he claims is essentially “backed by hostages.”
A Provocative Assertion
Higashi suggested that the validity of the Japanese currency is tied to individuals he asserts are trapped within the economic system.
According to Higashi, many Japanese share the sentiment that Bitcoin is not supported by tangible backing. However, he provocatively questions, “What underpins the Japanese yen?”
ビットコインは裏付けない論、とりあえずそれ言っとけば一般の人から同意されてるから言ってるだけでどうでもいいけど、では日本円の裏付けは？
日本円の裏づけは生活が苦しくなりながらも、何も言わずに勤勉に働いて納税して円で貯金してくれる日本人という人質。
そこまで言ってくれれば良し。
— Koji Higashi (@Coin_and_Peace) November 15, 2024
The crypto leader pointed out that critics fail to recognize how fiat money is “backed by hostages”, referring to hardworking Japanese individuals who, despite facing hardship, continue to labor diligently, pay taxes, and save in yen without protest.
Declining Living Standards
Higashi’s views mirror the deteriorating quality of life experienced in Japan over recent years.
He noted that retirees struggle with insufficient pensions, while the working populace faces low wages amid the challenges posed by a weak yen and rising inflation. He mentioned that many Japanese have fallen victim to an increasing tax burden driven by a burgeoning bureaucracy, which he claims is beginning to express discontent.
Concerns of Political Influence on Crypto
Moreover, Higashi’s remarks have sparked a debate regarding the potential political manipulation of cryptocurrencies, with some analysts considering his statements as a gateway into discussing the “state and corporate control of major cryptocurrencies.”
Roger Ver, a well-known advocate for Bitcoin, has previously articulated concerns in his writings about BTC being “taken over by influential and vested interests.”
Some market watchers speculate that the recent surge in Bitcoin’s price could be attributed to “exaggerated market interest” and the influence of the dollar-centric fiat economy, which Higashi also addressed.
For instance, fellow Bitcoin supporter David Shattuck remarked that Tether, a well-known stablecoin, is “unredeemable,” suggesting that companies like MicroStrategy can indefinitely leverage it.
Defenders of stablecoins argue that Tether is indeed “redeemable,” yet it remains primarily influenced by US dollar holdings.
Featured image from DALL-E, chart from TradingView