NFTs Bring New Life to Village

Yamakoshi, nestled in the mountains of Niigata.

Over centuries, the inhabitants have sculpted this beautiful land.

But like many Japanese villages, Yamakoshi is struggling to cope with a shrinking population.

Now art and technology are opening the way to solutions.

The key is art published as non-fungible tokens, or NFTs.

Anyone who buys a Yamakoshi NFT becomes a digital villager.

It's a unique strategy for revitalizing the community.

It's great to see so many people
supporting the village.

Even people who could never move here.

We hope people who buy the art
will be inspired to come and visit.

We love meeting them.

Residents' efforts to preserve local history and culture are now bolstered by digital technology to revitalize the village.

It's a new definition of community.

NFT art has everyone talking.

The blockchain technology behind cryptocurrencies verifies that the art is truly authentic.

Some NFT artworks have been valued at tens of millions of dollars.

Now the power of digital art is being harnessed to drive local revitalization.

This is Yamakoshi.

The area is known for its terraced ponds and rice paddies.

It also breeds and exports valuable rainbow koi to the world.

In 2004, a major earthquake forced residents to evacuate.

Not all of them returned.

Before the quake, Yamakoshi had a population of 2200.

Only about 800 people live here today.

More than half the population is over 65.

Takeuchi Haruka is leader of the Yamakoshi Public Meeting.

She's spent the 17 years since the earthquake working to support the region.

Takeuchi collaborated with local government to try to boost the region's official population.

But success was limited, and recovery funding from the prefecture ran out in February 2021.

I felt like I'd exhausted every option,
but I wasn't discouraged.

Yamakoshi people have
an unbreakable spirit.

The village's identity was something
that had to be preserved no matter what.

Takeuchi finally hit on the concept of using NFT art to help Yamakoshi.

She launched the project with a governmental grant, the equivalent of about 75,000 dollars.

As the motif for Yamakoshi's original art, she chose the rainbow koi.

Up and coming artists Okazz and raf supplied two basic designs for the NFTs.

When the data is renewed, an algorithm delivers a color change.

Owners can drag the images and play with their shape.

The NFTs are not just fun works of art.

Owners of them are recognized as "digital villagers" of Yamakoshi.

This means they get to participate in a range of activities to support the region.

Yamakoshi NFTs are purchased with digital currency.

Their launch price was roughly 115 dollars.

Proceeds are split between the artists and funding for local revitalization.

You don't have to live here.
You can still support the region.

If we can encourage people
to feel like they belong here...

I think the response will be very positive.

Hirose Sho is a Yamakoshi NFT art owner.

I love the sounds and the breeze
and the smells of Yamakoshi.

Hirose is a professional photographer.

Two years ago he made several visits to Yamakoshi for work.

Everyone I met was warm and welcoming.

I ended up falling in love with the area.

I think it's great
that I can help the region...

by owning one of their NFTs.

Yamakoshi's digital population now stands at more than 900, more than the real population.

Many of these digital villagers live outside Japan.

A chat space helps them interact and keep in touch.

It's like having a community of supporters
layered on top of the real residents.

The two layers create
a single, unified entity.

I wanted to see if we could create
something like a Yamakoshi Nation.

Professor Okajima Yushi studies blockchain technology at Chuo University.

He had this to say about Yamakoshi's experiment with NFTs.

People can buy art, support the village,
and have a voice in its affairs.

The business side of NFTs
of course draws a lot of attention.

But what Yamakoshi is doing...

is a stable, positive way
to derive benefits from NFTs.

NFTs connect a community of supporters.

The human connections that form when people visit Yamakoshi bring vitality to the region.

Each spring, people gather at farmers' markets like this, to buy local delicacies from farm and field.

This is Hirose Sho's first visit to the market as a digital villager.

Good morning.

Proud Yamakoshi NFT owners are here from all over Japan.

I'm Sekikawa, a digital villager.

Sakane is here too.

Nice to meet you.
I'm Hirose.

- Where are you here from?

- Where are you here from?
- I drove up from Kanagawa.

It took more than five hours.
Traffic was terrible.

Right from the start, they're acting like old friends.

Maybe by becoming digital villagers...

we feel like we've gained
a second hometown.

If this system was extended
to all of Japan...

I think it could really enrich people's lives.

Takeuchi and Hirose stream live coverage of the farmers' market.

To hype the event, they're wearing symbols of Yamakoshi: rainbow koi and hot pepper.

Takeuchi from Yamakoshi here!

We're going to visit every tent...

for a look at what the ladies
of Yamakoshi are offering.

Okay, here we go!

They zoom in on produce straight from the farm.

They also sample some home-cooked local delicacies.

It has a mild, sweet taste.

Digital villagers get cooking advice for their produce.

They're part of the Yamakoshi family.

It's wonderful for us too.
We're all seniors.

It's so nice to see
all these young people.

A festival in Yamakoshi wouldn't be complete without bull wrestling.

A pair of draft bulls match their strength in the ring.

This non-lethal sport has a thousand year history.

Traditional Yamakoshi bull wrestling has a twist: every match ends in a draw.

This ensures that the bulls stay safe.

Digital villagers enjoy the action.

Pictures and comments go straight to their SNS audience.

Yamakoshi fans play a key role in raising awareness of the region's attractions.

Matsui Tomie is the head of Yamakoshi's Bull Wrestling Association.

He believes the key to preserving traditions is to bring them wider exposure.

People are traveling here
to see the bulls.

They support us
and help out in many ways.

They're bringing new life to our region.

Yamakoshi's digital villagers are revitalizing the region with their presence.

But even those who can't make the journey to Niigata are collaborating to provide support.

This chat room for digital villagers teams with ideas and opinions aimed at helping the region.

The virtual Yamakoshi metaverse project is just one of the ideas that have emerged from this collaboration.

The metaverse project is the brainchild of Kasaki Nagato, an IT specialist based in Tokyo.

The idea is to give people freedom
to explore the village in their own way.

Digital villagers can collaborate and experience
building a complete world.

Today's planning meeting takes place in the metaverse.

Thanks for joining.

Each participant has their own avatar.

I'm a farmer from Niigata.

I'm from Shiga.
I do regional revitalization and educational support work.

I'm Takeuchi, from Yamakoshi.

The meeting brings different backgrounds and skill sets together.

Today's discussion topic is a farmers' market event in the metaverse.

In a virtual farmers' market...

people could interact with local sellers
and order their products.

The metaverse can give more people access, and farmers can boost their income.

We could do stuff like this.

People could show off
the produce they harvested.

I like it.

The group decides to let sellers upload three-dimensional images of their products.

I'm looking forward to bringing
even more people to these meetings.

To help make that happen,
we want to upgrade the environment.

To develop and flourish, Yamakoshi is turning to people throughout Japan for input and ideas.

Local residents are enthusiastic about the new trend, which started with NFT art.

I think it's wonderful.

People our age aren't sophisticated
about using the internet for communication.

We need support from younger people.

At the same time, we can stay here
and preserve the region's culture.

I think we each have our role to play.

Six months since launch, Yamakoshi's NFT art project has still only just begun.

Since the earthquake,
everything has been trial and error.

But we keep going,
always looking ahead.

With everyone's help, we'll keep going.

New technology and imagination can give rise to new community.

For other regions seeking solutions to population decline, Yamakoshi's innovative approach offers a glimmer of hope.