Not to mention when the bitcoin price takes a nosedive and borrowers are scrambling to deposit even more sats as collateral because lenders don’t care about “1 sat = 1 sat” bullshit.
Discussion
As an 80 IQ pleb I would still like someone to explain to me how one pays back a loan they take against their bitcoin without taking another loan against more of their bitcoin.
Places like ledn let you roll the loan over at the end of the term. I'm not sure if you accumulate origination/documentation fees for doing that, but it basically appeals to the degenerate who assumes they'll just keep clawing their bitcoin back as the value goes up, never considering that 75-80% corrections have consistently been a fixture of hodlr culture.
I have never been tempted to use Ledn, and they don’t serve where I live so maybe the BitLicense isn’t so bad after all.