The past 2 years (due to high fees) I started DCAing into Lightning and Liquid wallets for spending
If I'm right, because of massive appreciation, I will never have to touch my 🌽 in cold storage
Think about the risks, the tradeoffs and the future
Discussion
*Self Custodial Wallets
You leave it on Liquid and never swap back to the mainchain?
Yes, I have some on there, and I'm aware of the risks
I use liquid, but never keep more than 5 million sats on my wallet.
That's a good rule
5 million?!
I kept 1 milli on Phoenix but after a month I got too squeamish and sent it to cold-storage 😅
It's my emergency fund.
My wife likes to have her check deposited to bank of america.
I think this bank is insolvent.
I like to keep access to 5,000,000 sats in case something goes wrong with the bank and I can't get access to the fiat to pay our mortgage.
When that amount exceeds a 3 month emergency fund, I'll make I'll send more to cold storage.
Getting from LN to liquid is actually kind of expensive sometimes depending on how you are routing your dca across the lightning network.
Timing and Optionality
Still waiting for sub 5s/vByte to go from LBTC to on chain?
No, this is my checking/spending 🌽
It will only appreciate in fiat value
If If I'm right, I'll never have to fund this account, and dip into my cold storage
Oh missed the part where you are accumulating spending sats in LBTC. Not sure I would trust a federation long term, but you do you! I’m sure it will be better than getting force closed or trying to move on chain in ten years.
My allocation size is directly in line with the risk I'm willing to take