Hi
Flip that concept around and see that it’s a leveraged short on the currency.
Discussion
Let me check my ignorance if you will - you mean getting a mortgage is that leveraged short on the currency the mortgage is denominated in correct?
If so, to asses whether a leveraged short using bitcoin is a better option it comes down to this?
Initial house value + price increase - (maintenance + tax + interest) < initial #btc value + price increase - (interest + rent)
Assuming you live in the bought house.
Feel free to roast me (with information 🤘), actively looking to see where I’m ignorant.
Yes, to borrow any fiat currency at the present time when it buys a certain amount of goods - houses, bitcoin, cars etc. Then pay it back latter with “debased”(diluted, weakened in purchasing power) currency is definitely a “short” bet on that currency. Because you know that same $amount of borrowed currency will buy much less in 5,10,30 years. Most people think they are just going “long” on the asset.
I have a mortgage on my house… I’m not in a hurry to pay it off. I just sweep any leftover money into regular small purchases of BTC 🙂
https://youtu.be/3I9JHYGX_Ho?si=LA9euesaFKXc42Zb
This is a great interview, at 58 minutes he discusses shorting the Venezuelan Bolivar. That is an extreme example of what is playing out at various speeds in basically every fiat currency on earth ( I’m pretty sure 🤔)
Btw, good to have you on board and welcome!