Sharing my read - Why Japan bank interest rate increases affect whole world? Abstracted from Robert T. Kiyosaki.

Japan just sent a warning most Bitcoin traders don’t understand.

The Bank of Japan is preparing to raise interest rates to around 0.75% — the highest level in roughly 30 years.

To most people, that sounds boring.

To anyone who understands global money flows, it’s a shockwave.

For decades, Japan played one role in the global financial system:

The cheapest source of money on Earth.

Investors borrowed yen at near-zero rates and used it to buy:

• Stocks

• Real estate

• Private equity

• Crypto

This is called the yen carry trade.

It works beautifully when rates stay low.

It breaks violently when rates rise.

Every recent tightening cycle in Japan tells the same story:

When the yen strengthens and borrowing costs rise, risk assets fall.

Not because Bitcoin is “bad.”

Because leverage is unwinding.

That’s the part traders miss.

This isn’t about Japan “attacking Bitcoin.”

It’s about cheap money disappearing.

When borrowing costs go up:

• Leveraged positions get closed

• Forced selling increases

• Volatility spikes

We saw this pattern in past Bank of Japan moves.

Markets didn’t crash overnight — they repriced fast.

And here’s the deeper lesson most people overlook:

Central banks don’t move independently anymore.

Global markets are connected by leverage.

When one major source of cheap money tightens, the effects show up everywhere:

New York.

London.

Crypto markets.

This doesn’t mean Bitcoin is dead.

It means Bitcoin is being traded like a leveraged risk asset — not held like a long-term store of value.

That distinction matters.

Speculators fear rate hikes.

Long-term asset owners study them.

Because real investors don’t ask:

“Will the price drop this week?”

They ask:

“What happens when cheap leverage disappears?”

Rising rates expose who owns assets…

and who is renting them with borrowed money.

That’s why moments like this shake markets.

Not because fundamentals change overnight.

But because discipline returns.

History is clear:

• Easy money inflates bubbles

• Tightening reveals weakness

• Real assets survive

• Leverage gets punished

The lesson isn’t to panic.

The lesson is to understand where price comes from.

If an asset’s price depends on cheap debt, it’s fragile.

If it’s owned without leverage, volatility becomes opportunity.

Japan raising rates isn’t about 0.75%.

It’s about the end of free money.

And every time free money ends, markets remind people of a painful truth:

Wealth isn’t built on leverage.

It’s built on education, cash flow, and staying power.

That’s what survives every cycle.