"Gaki Pay" Goes Viral: Japan's Digital Regional Currency with the Quirky Name Taking Social Media by Storm
A Local Government Initiative Becomes an Internet Sensation
On January 13, 2025, a routine announcement from Ogaki City in Gifu Prefecture unexpectedly captured the attention of the entire Japanese internet. The city's plan to distribute a digital regional currency called "Gaki Pay" to all residents became a trending topic—not for its economic merits, but for its eyebrow-raising name.
The word "gaki" in Japanese is colloquially used to mean "brat" or "kid" (derived from a Buddhist term for hungry ghosts), which immediately set social media ablaze with jokes and memes. However, the name actually comes from "Ogaki" (大垣), the city's name itself.
What Is Gaki Pay?
Gaki Pay is a digital regional currency introduced by Ogaki City in fiscal year 2024. As part of the city's inflation relief measures, funded by the national government's Priority Support Grant for Regional Revitalization, every registered resident (approximately 157,000 people) will receive a "Gaki Pay Card" loaded with 7,000 yen worth of points (approximately $45 USD).
Key Features
- QR code-based cashless payment system
- Usable at approximately 300 participating stores in Ogaki City
- Available as both a smartphone app and physical card for those without smartphones
- Credit card (Visa, Mastercard) top-up functionality currently in pilot testing
- Integration with local store coupons and promotions
The currency has already been utilized for various municipal programs, including childbirth and childcare support grants and subsidies for energy-efficient appliance purchases. The technical infrastructure is supported by Ogaki Kyoritsu Bank and GMO Payment Gateway.
The Origin of the Name
Despite the humorous associations, the naming follows a consistent branding strategy in Ogaki City. The municipality has embraced the "Gaki" moniker across multiple initiatives, including "GAKI Meshi!" (a local food guide website) and "Gaki-Biz" (a business support center for small and medium enterprises). Gaki Pay simply continues this established local brand identity.
Social Media Reaction and City's Response
The news spread rapidly on X (formerly Twitter) after regional newspaper Gifu Shimbun reported on the initiative. Comments ranged from "This name is so quirky!" to "I understand it comes from the city name, but couldn't they have thought of something else?" Some users even created fan art based on the currency's logo.
Ogaki City officials responded positively to the unexpected attention: "We're grateful for the buzz. Our app download numbers haven't been growing as much as we'd hoped, so if this helps spread awareness and usage, that's a welcome outcome." What started as a straightforward inflation relief measure has inadvertently become a marketing success for the city.
The Rise of Digital Regional Currencies Across Japan
Gaki Pay is part of a growing trend across Japan, where local governments are increasingly adopting digital regional currencies to stimulate local economies, promote cashless payments, and strengthen community ties.
Notable Digital Regional Currencies in Japan
| Currency Name | Region | Notable Features |
|---|---|---|
| Sarobobo Coin | Takayama, Hida & Shirakawa-go, Gifu | Pioneer since 2017; named after local folk doll "sarobobo" |
| Hachi Pay | Shibuya, Tokyo | Named after famous dog statue Hachiko; premium points for residents |
| Seta Pay | Setagaya, Tokyo | District-exclusive cashless payment |
| MORIO Pay | Morioka, Iwate | Integrated local point system |
| Aqua Coin | Kisarazu, Chiba | Health app integration rewards walking with points |
| Yoro Pay | Yoro, Gifu | Hybrid paper voucher and digital system |
| UMECA | Annaka, Gunma | Launched December 2024; named after local plum industry |
| Kiri Pay | Kiryu, Gunma | Connected to childbirth support programs |
Why Local Governments Are Embracing Digital Currencies
Benefits for Municipalities
- Significant reduction in printing and distribution costs compared to paper vouchers
- Real-time data analytics for more effective policy planning
- Advancement of digital transformation (DX) initiatives
- Flexibility to quickly adjust programs based on community needs
Benefits for Residents and Businesses
- Convenient smartphone-based cashless payments
- Premium point bonuses and special promotions
- Support for local businesses over national chains
- Card options ensure elderly and those without smartphones aren't left behind
Economic Impact
- Keeps money circulating within the local economy
- Prevents capital outflow to outside retailers
- Strengthens community bonds and local identity
- Creates data-driven insights for economic development
The Technology Behind Regional Currencies
Most Japanese digital regional currencies operate on QR code payment systems, similar to popular services like PayPay or LINE Pay, but with geographic restrictions that ensure funds stay within the community. Key technological features include:
- Blockchain or secure database systems to prevent fraud
- Integration with municipal services and databases
- Compatibility with existing point-of-sale systems at minimal cost to merchants
- Multi-platform access (iOS, Android, and physical cards)
Financial institutions like regional banks and credit unions often partner with municipalities to provide the technical infrastructure, as seen with Hida Credit Union's Sarobobo Coin and Ogaki Kyoritsu Bank's support for Gaki Pay.
Looking Forward: The Future of Regional Currencies
The viral attention surrounding Gaki Pay highlights both the growing acceptance of digital currencies in Japan and the power of distinctive branding in capturing public attention. While the "quirky name" narrative drove the initial buzz, the underlying infrastructure represents a serious effort to modernize local economies and provide relief to residents facing rising costs of living.
As Japan continues to grapple with inflation, aging populations, and rural economic decline, digital regional currencies offer a promising tool for keeping money within communities and fostering local economic resilience. The Gaki Pay phenomenon suggests that a little humor and memorable branding can help serious policy initiatives gain public acceptance and enthusiasm.
We'd love to hear from you! Does your country or region have similar local currency systems? What creative approaches have you seen for stimulating local economies? Share your experiences and thoughts in the comments below!
References
- https://www.city.ogaki.lg.jp/0000068471.html (Ogaki City Official: Gaki Pay Card Distribution)
- https://www.city.ogaki.lg.jp/0000065545.html (Ogaki City Official: About Gaki Pay)
- https://www.itmedia.co.jp/news/articles/2601/14/news100.html (ITmedia NEWS)
- https://www.gifu-np.co.jp/articles/-/652932 (Gifu Shimbun Digital)
- https://www.hidashin.co.jp/coin/ (Sarobobo Coin Official)
- https://www.hachi-pay.tokyo/ (Hachi Pay Official)
- https://business.ntt-east.co.jp/bizdrive/column/post_401.html (NTT East: Digital Regional Currency Municipalities)
- https://mmdlabo.jp/column/detail_2300.html (MMD Research Institute: Digital Regional Currency Survey)
Reactions in Japan
When I first heard 'Gaki Pay,' I was like 'huh?' but it makes sense since it's from Ogaki. For locals, it seems normal, but I get that it sounds impactful to outsiders. I'm genuinely grateful to receive 7,000 yen.
Following Sarobobo Coin, Gifu Prefecture has produced another interestingly-named regional currency lol. Both Hida and Ogaki are really going for it!
The regional currency name going viral is actually a huge marketing success, isn't it? The person in charge must be surprised, but it's working out well.
I actually like the Gaki Pay logo - it's surprisingly well-designed. But the gap between the logo and the name is incredible. I wonder if they have a special payment sound?
Regional currencies are a good policy for circulating money within local economies. With Gaki Pay going viral, other municipalities might consider adoption too. Increased attention is a positive thing.
It's great that even elderly people without smartphones can use it with a card. I want to help my grandmother use it too. It really helps with the rising prices!
Clerk: 'How will you pay?' Me: 'Gaki Pay please' - it's embarrassing but hilarious. Now I want to visit Ogaki just to experience this.
Our municipality is also considering a regional currency, so the naming approach is useful reference. Buzz is important, but too much impact might be a double-edged sword...
I run a shop in Ogaki. Honestly, I had doubts about the name at first, but if it brings more customers, then welcome! The number of participating stores is also growing.
I laughed seeing people drawing Gaki Pay fan art. The official team should ride this wave and create an actual mascot character!
Shibuya's Hachi Pay is cute, but Gaki Pay's impact is incredible. I love the naming sense of local governments.
It's been 5 years since I left my hometown, but I never expected Ogaki to go viral like this. GAKI Meshi and GakiBiz have been around for ages, so it doesn't feel weird to me at all.
Regional currencies are convenient, but expiration dates and limited participating stores are drawbacks. 300 stores for Gaki Pay is decent, I suppose.
Ogaki Kyoritsu Bank is supporting this. It's a good example of regional banks working on local revitalization. Digital transformation support will remain important going forward.
Apparently you can get Gaki Pay points as a childbirth gift too. It's great that it's linked with childcare support. I hope this kind of initiative spreads nationwide.
When 'Gaki Pay' was proposed in the naming meeting, did no one try to stop it? Well, it turned out to be the right call in the end, though.
What a brilliant idea! I wish we had regional currencies like this in the US to help revitalize local economies. The name is definitely funny, but the concept itself is amazing.
We have a regional currency called 'Chiemgauer' in Germany too. Interesting to see Japan doing this digitally. It's a good trend for municipalities to use technology to support local economies.
Cashless payment is normal in Singapore, but the concept of region-limited currency is refreshing. I think it's a great way to support local shops.
Regional currencies exist in France too, but I'm envious of Japan's digital integration with apps. It shows how advanced their government digitalization has become.
We had regional currencies like the 'Bristol Pound' in the UK, but digitalization has been a struggle. Japan's approach is worth learning from.
Digital currencies by local governments are increasing in Korea too. It feels similar to Japan's initiatives. The naming choice is really unique though (lol)
If small Italian towns had a system like this, we could protect local shops. It's a problem that tourists only use big chains.
We tried something called 'Calgary Dollars' in Canada, but it never took off. There seems to be a lot we can learn from Japan's successful examples.
WeChat Pay and Alipay dominate in China, but the concept of region-limited currency is interesting. The clear goal of protecting local economies is good.
I wish Spanish tourist areas had this too. It would help money flow to local shops. Using technology for regional revitalization is a wonderful idea.
Rural depopulation is also a problem in Australia. Japan's regional currency initiatives are helpful reference. Reducing management costs through digitalization is smart.
I'm a Japanese person living in New Zealand. This initiative to protect local economies is so typically Japanese. Living abroad, I'm impressed by Japanese municipal efforts.
In America, I've watched local shopping districts disappear due to big box stores. Things might have been different with a system like this. Japan is ahead.
The viral buzz about the name is funny, but the 7,000 yen support as actual inflation relief must be helpful for residents. We shouldn't overlook the practical aspect.
Austria has also experimented with regional currencies. The key to success is the number of participating stores and convenience. 300 stores seems practical.
The combination of technology and local economic support is brilliant. Having a card option for elderly people is an inclusive and well-thought-out design.