Can't activate Iphone 4 since updating to IOS 7.1.1 yesterday

I've had this iphone 4 since december 2013. It was a gift from a relative in Japan. Since factory unlocking it costs way too much, i decided to just use it as an ipod. I've been using it since then to browse the web, watch videos on youtube, etc with no problem. Updating it to newer ios versions was pretty easy too, i never had to use my pc and could just update it through just the phone alone until yesterday when my iphone said that there's a newer version of ios available which was iso 7.1.1 i was already on ios 7 , so i updated but after updating, the itunes logo appeared and said i needed to connect the phone  to itunes and restore it before i can use it. it was the first time i ever had to do that, so i did. After connecting it to itunes, itunes downloaded the newest software, i waite dfor two hours and after installing the new software, it told me to restore the iphone, i did and i thought everything was fine again but after the iphone screen turned on, it told me to do the basic set up such as the language, wifi connection, and then said that i needed a sim to activate it. i never needed s sim ever since the iphone was given to me why does it require it now?? i was so ****** cause the phone's from softbank japan, how could i possibly get a sim card from them here. My iphone isn't  unlocked, jailbroken, etc, i never had it modified whatsoever so why is it acting up now? how can i fix this? i coudn't get thtough the sim activation screen and when i connect it to itunes it either tells me to restore it again or shows me a screen that the phone is not activated and needs a sim or something along that line.
Sorry for the lengthy post. How can i fix this? Thanks!

Thanks for replying. I remembered that there was a used softbank regular sized simcard in the box, we tried it before in a iphone 3gs also from softbank it didn't work. I cut it to a micro sim ,(i googled on how to do it), and still didn't work on my iphone4. i guess the simcard isn't working anymore and i need a new one that actually works. Well off to searching i go!

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