BTC loans sound like reinventing the wheel — but this time it’s not a circle, it’s a square. If you want to consume, the much more rational choice is to go straight to the Bitcoin standard. You simply convert your entire fiat wage into Bitcoin and start spending the corn. Chances are, you’ll end up with way more sats than if you stick to your measly 10–15% monthly DCA, because now you’re 100% in scarcity territory and far more conscious about emotional spending.

At the same time, you’re directly incentivizing merchant adoption — to the point where merchants start onboarding other merchants. That creates a cycle of perpetual adoption and rising monetary demand. And historically, monetary demand has always led to NGU.

On the other hand, you take a loan equal to your Bitcoin’s fiat value — but you surrender self-custody to the lender. You take on massive counterparty risk plus an interest rate that roughly matches global inflation. The lender gets to ride inflation while the debtor eats all the risk. It’s so opaque, it blows my mind that people are even considering it.

And let’s not forget — this keeps credit expansion alive, which is the exact opposite of where we need to go: toward a deflationary economy and low time preference. Honestly, it’s such a dumb idea. But I always knew Wall Street would find some roundabout way to separate plebs from their sats — and I guess this is it.