I've been looking for a Japanese-inspired "Mark of the Odd" game, and I think you've nailed it here! The mechanics from Cairn and Block, Dodge, Parry are very well incorporated into the setting.
I have a suggestion, and a question;
- I'd find it very helpful if the book were split into a "Player" and "Guide" section so it would be easier for my players to read. I tried to do it myself, but some of the pages have content combined (ie, page 41 has both rules for Light Sources and Wilderness Encounters).
- are there any adventures you'd suggest that would fit this system/setting well?