The general idea is that Makoto has been misinformed.
The "Old Man" is actually a member of the same group as Genna, that some how ended up on Earth. That would be why he knows so much about swords, etc. Also, yes, Makoto's swords are both made of Chrome Digizoid, and there will be a third on that'll be important later.
Also, I had the idea that the whole of the Digital world has been around as long as, if not longer, than the human world. However, until the Monster Makers, nobody thought to look for it or even that such a thing existed. However, there have always been "tears" that happen throughout time, explaining things like mirages, hallucinations, and why things in ancient history have occasionally come up as anachronistic. Ancient UFO's, ideas that were far ahead of their times, even things like the basics of myths.