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42 sats \ 6 replies \ @grayruby 25 Jul 2023 \ on: What do you know that most people don't know? meta
In a fiat world if you own a large enough basket of assets that increases in value in excess of your interest cost of borrowing against it you don't really ever need to work or do anything productive you can live off the arbitrage between the two.
is arbitrage really the right word for that?
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Fine exploit the difference between. Arbitrage connotation has expanded more broadly to reflect meaning exploit the difference between but granted this is not the true meaning of arbitrage.
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This is true for a hyperbitcoinized world as well, although the interest rate will likely be higher so you'd have to be quite good at it to pull it off.
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is that really not common knowledge? isn't that the theory behind FIRE?
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I believe they try to live off dividends mostly.
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