Defined loans at 3-5%, no term limit, no monthly interest, and you hold your keys. Few.
Discussion
DeFi*
Who is offering loans with interest rates that low?
No one as far as I know. But you’re right Brinky, it’s the term that gets you. It’s an interesting dilemma because if you understand bitcoin is good money why would you lend capital instead of just buying it and more and more capital providers will be permitted to buy bitcoin The arbitrage can’t last but if I could get a 4 year loan sub 10% I’d take it all day for a piece of the stack.
Yes I think we all would. That's why average is 11-13% interest. It doesn't really make sense to take out a loan at this rate at this time. Especially since the 4 year cycle hasn't officially broken yet. In 6 months, if we're over $100k we haven't started heavily fading, it might make sense to borrow, but I would have preferred to take the loan at 50k and pay it off or refi at $110-120k rather than take the loan now and refi at 80k in 12 months. The interest will eat your lunch.
Agreed, thank god I have a job.
I borrowed 50k against my 401k at roughly 65k btc price in 2021 and bought as it went it down. It ended up being almost a full bitcoin... the interest rate was 4.25% and the term was 60 months. I would do it again but I'm still paying off the loan. Lol. The new loans on 401k's are at 8.5% today.
If mortgage rates come down there's a non-zero chance Im gonna tap that equity myself.
Yeah that's a great one. The rates will come down. If you're US based, the market is propped up by the govt, might as well use the lever if you can. I don't own a home, so I can't do that, so the next best thing is 401k loan which repays back into the 401k so you borrow from yourself.
Ya I see a lot of clever things done with 401k loans.