Replying to Avatar Other Barry

If you took out a $25,000 unsecured loan 5 years ago, at 12%, you could have purchased roughly 3 bitcoin.

That monthly payment would be $556.11. Over the course of 5 years you would pay $33,366.60 in loan payments.

Buying $556.11 of bitcoin once a month during that same time period would have amounted to 1.38 bitcoin.

The loan, which gave you $25,000 in capital, has you up with more than double the bitcoin if you didn’t borrow.

Using 25% less capital, buying bitcoin in a lump sum significantly out performed a DCA strategy.
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π–‹π–Žπ–†π–™π–‰π–Šπ–“π–Žπ–Šπ–— (Β―`◕‿◕´¯) 1y ago

Who is going to give you an unsecured loan of 25k at 12%?

If you can get the loan, you don’t need it.

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Other Barry 1y ago

Lots of people will give you that loan.

If you buy a pristine asset and pay it back with an inflating piece of crap, you win.

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Pierre 1y ago

Back from when I did my MBA in my pre-Bitcoin days, I got a line of credit. The bank never bothered to cancel it after I was not longer a student so I’ve been using it since.

I never splurged and never got $25k of bitcoin at once though β€” in hindsight I should have when it was $17k!