13 sats \ 4 replies \ @IamSINGLE 9 Jul \ on: Building Lendasat on ARK - Introducing DLC VTXOs bitcoin
Thanks for the information. Let me first grow my sats. I'll ask you then. I've just bookmarked it.
Do you see any use case for this? Can you hint or explain? Because I have no idea how can this service be useful no matter how many sats do you own...
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Juraj Bednár wrote about that topic already. I can recommend to look up his work on "How to harness the value of Bitcoin without having to sell it"
The principle idea though is very simple. Today the bitcoin price is at $65,000. So if you wanted to buy a new chair for $780 you'd have to pay ~1,2M sats. Now, if the btc price would appreciate to $90,000, you'd only pay ~866K sats.
With lendasat you can buy the new chair today, and pay back later. e.g. when the price is right for you. e.g. at $90,000. You'd only have to pay back 866K sats + interest for the loan and would get back your original collateral.
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This would work if you as a service denominate the loan in USD and not in sats. Right? Otherwise, it works vice-versa and I would overpay that chair a lot.
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You lock your bitcoins as collateral, and we pay your invoice!
You then repay us in bitcoins, but based on the USD price of your item at the time of repayment!
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