The Trans-Accepting Kagenate of Waterfall State is a colossal, cultured nation, ruled by Kage Ukataka Matsumoto with an even hand, and remarkable for its otherworldly petting zoo, devotion to social welfare, and stringent health and safety legislation. The compassionate population of 6.076 billion Waterfalleans have some civil rights, but not too many, enjoy the freedom to spend their money however they like, to a point, and take part in free and open elections, although not too often.

The large government juggles the competing demands of Defense, Education, and Administration. It meets to discuss matters of state in the capital city of Hidden Waterfall. The average income tax rate is 96.6%.

The frighteningly efficient Waterfallean economy, worth a remarkable 1,190 trillion Ryous a year, is driven entirely by a combination of government and state-owned industry, with private enterprise illegal. The industrial sector is led by the Information Technology industry, with significant contributions from Arms Manufacturing, Tourism, and Book Publishing. Average income is an impressive 195,945 Ryous, and distributed extremely evenly, with little difference between the richest and poorest citizens.

No one gossips with Kage Ukataka Matsumoto during diplomatic summits, the once prosperous capital is in utter decline, it's been a banner year for local vexillology, and Bigtopian interference in domestic elections is always democratically sanctioned. Crime is totally unknown, thanks to a capable police force and progressive social policies in education and welfare. Waterfall State's national animal is the Tailed Beast, which is also the nation's favorite main course, and its national religion is Northern Temples.

Waterfall State is ranked 8,708^th in the world and 10^th in Confederacy of Layem for Most Patriotic, with 48.4 flags saluted per person per day.