I borrowed against some of my stack for a venture at 50k. Had I sold instead of borrowing cash against my 2.5x over collateralized multi sig fiat loan I would have way less bitcoin right now.
I was able to do something productive, write off interest payments on my taxes, and keep my stack in tact. Win.
that's amazing when it goes up, but i wonder how the people who took loans out at $120k will feel when $58k gang comes back?
I knew that was a risk and was prepared to add collateral if necessary. The lending service I used wouldn’t auto liquidate, they give loanee’s the chance to add collateral if necessary.
Bitcoin tends to go up more than it goes down, historically, so the odds are like 3/4 that it’s the right call to borrow against your stack based on historic price action. Results never guaranteed though.
