You deposit a 500円玉 (gohyaku-en dama, ¥500 coin) and twist the knob: ガチャ … ガチャ … ポン! (gacha … gacha … pon!) — gotcha!
It’s been simply over 60 years since カプセルトイ (kapuseru toi, capsule toys) have been launched to Japan from the US. The machines are variably referred to as ガシャポン (gashapon), ガチャガチャ (gacha-gacha) or just ガチャ (gacha) — names impressed by the ガチャ sound of the crank turning and the ポン (pon) of the capsule dropping.
However ガチャ isn’t nearly what comes out of the machine. As its recognition has grown, so has the language used to speak about it. Attempt asking your Japanese associates, 最近何にハマってる?(Saikin nani ni hamatteru? What are you into not too long ago?) They could let you know, ガチャにハマってる (Gacha ni hamatteru, I’m into capsule toys).