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Replying to Avatar Coringa Nakamoto

Use the strategy known as: The "Buy, Borrow, Die" Strategy (Collateralized Loans)

This is the strategy used by billionaires to never pay taxes on stocks or real estate, and it works with Bitcoin.

Logic: Selling Bitcoin is a "taxable event" (you realized a profit). Taking out a loan is not taxable.

The Method: Instead of selling your Satoshis to buy a house or a car, you use your Bitcoin as collateral on DeFi platforms (like Rootstock or Liquid) or CeFi (centralized platforms). You receive the fiat money (Stablecoins or BRL), spend the money, and pay off the loan over time.

Result: You accessed liquidity without selling the asset; therefore, there was no taxable capital gain at that moment.

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TomDulz 1mo ago

Well you need to then pay interest all the time which increases your overall costs a lot. So how that’s better than spending your own fiat money?

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