Interview with Zaif CEO Takao Asayama about DCA
Japanese cryptocurrency and blockchain technology FinTech Lab, Tech Bureau Corporation, recently launched a new bitcoin investment service, the Zaif Coin Reserve. Customers simply authorize a fixed monthly debit, and it’s automatically invested in bitcoin.
Brave New Coin spoke with Tech Bureau CEO, Takao Asayama, who explained more about the new service. “This is a fusion of Japan’s domestic payment method and crypto products, into a very interesting crypto investment program.”
Tech Bureau is a Japanese blockchain technology company that operates a bitcoin exchange, Zaif, and a permissioned blockchain platform, Mijin. Last week, Tech Bureau announced that it has raised ¥720 million, or about US$6.6m in a Series A funding round to further develop Zaif and Mijin. The trading platform, Zaif, boasts more than a 20 million yen in daily turnover, and is one of Japan’s largest bitcoin exchanges.
The product is also the first of its kind in Japan. “I’ve never seen this before in other countries,” Asayama shared, adding that this is a “Bitcoin investment program you rarely see.”
The new service uses an investment technique called dollar-cost averaging (DCA). “We automatically buy bitcoins for all the buyers,” Asayama explained, “the timings and amount are automatically dispersed.”
There is a minimum monthly deposit of 1,000 yen (~US$9.1), and maximum of 1 million yen (~US$9100). Deposits are automatically debited from client accounts on the 27th of each month. “Direct debit in Japan is the most powerful payment method I know of, and very popular,” Asayama said.
DCA is a common investment strategy, where a fixed amount is invested on a regular schedule, regardless of the asset price. Consequently, more assets are purchased when the price is low, and fewer are bought when the price is high.
Full interview at source:
Date of publication: May 18, 2016