Yr point is well made but so also is the response by nostr:nprofile1qqsg4mwgw9sgr8jfpjcpv2ktmry6ymteuc7mwn6mrdje8yqjjf987pgpz4mhxue69uhk2er9dchxummnw3ezumrpdejqz9thwden5te0dp5hxapwdehhxarj9ekxzmny6tyrrr

It's possible to safely and privately borrow against BTC collateral by using a non KYC platform such as @nostr:nprofile1qqszw0ncsrfc6wd8lv3cal8cj4apkke8aqv3y75ys05h2st2p2g035sprpmhxue69uhkzum5wfskctnwdaehgu3wd3skuep0qythwumn8ghj7cnfw33k76twv4ezuum0vd5kzmp08wj0e3 and by maintaing a very conservative LTV ratio that would keep you safe from a margin call against most conceivable flash crashes (eg it's very unlikely we would see a crash to below 30K now). Also, only borrow against a small fraction of your BTC that you can afford to lose even in the very worst event (eg only borrow against 1% of yr total).