Spend & replace > Borrowing
Discussion
Spearnd those Sats Anon
Technically that is a taxable event. Borrowing is not
There is a reason wealthy people borrow
A lot of times, the amount of bitcoin that has to be given away due to a margin call is higher than the amount of bitcoin the person would have spent.
Anyways, I’m not telling you what to do. You do it however you want
That is a good point. However, I think modern loans are being structured such that you can get some money, get some bitcoin and Use the money for a business deal w/ payback over 7 years. No margin call so long as you are not in default.
Not a lot of these out there yet, but they are coming.
I guess the availability of those loans is highly dependent on the jurisdiction. I hope people who use those are vigilant and don’t fall in the red at the end of the 7 years and then lose some bitcoin.
I guess more options for the consumer is better than none at all
In the case of Strike they are transparent re: when you will be liquidated vs. when they will request more collateral. If you post more collateral you reduce this risk. FWIW, though, if you are liquidated that's an income event too and then you'll still have to pay the balance so, it's a tradeoffs scenario as in all things.
