i don't like the feeling to owe someone something. after i finished studying i payed my student loans back as fast as possible, even though i had a lot of time with no interest on it. logically stupid, but emotionally it felt right
since selling bitcoin in the us is a taxable event, i see an argument could be made to take out a loan against your bitcoin. but i am from switzerland, that means i don't have to think about this scenario
i prefer sleeping well at night — not taking out loans helps me achieve that
I like holding some WBTC and borrowing against it on the cheaper chains like Polygon. The fees are negligible and I try to keep the value borrowed pretty low against collateral. There is a chance of being liquidated but WBTC/BTC would really have to slump very low for any liquidation to happen. The rate fluctuates but it's generally in the 0 - 10% range.
I also have a secured credit card, and borrowing against WBTC is much lower than the rate I get on Mastercard which is around 28%
i don't like the feeling to owe someone something. after i finished studying i payed my student loans back as fast as possible, even though i had a lot of time with no interest on it. logically stupid, but emotionally it felt right
since selling bitcoin in the us is a taxable event, i see an argument could be made to take out a loan against your bitcoin. but i am from switzerland, that means i don't have to think about this scenario
i prefer sleeping well at night — not taking out loans helps me achieve that
It is never a loan but a short knock-out binary put option. You get paid for gambling with your stash.
I like holding some WBTC and borrowing against it on the cheaper chains like Polygon. The fees are negligible and I try to keep the value borrowed pretty low against collateral. There is a chance of being liquidated but WBTC/BTC would really have to slump very low for any liquidation to happen. The rate fluctuates but it's generally in the 0 - 10% range.
I also have a secured credit card, and borrowing against WBTC is much lower than the rate I get on Mastercard which is around 28%
Nice try Fed