XeqT Monetary Freedom (∞/21M) + (₿+⚡) = 🧡 on Nostr: There has never been a 4-year period in which Bitcoin was worth less at the end than ...
There has never been a 4-year period in which Bitcoin was worth less at the end than at the beginning.
The lowest growth over a 4-year period that I could find was ~80%.
Now, imagine a financial institution that gets this.
That institution could issue Bitcoin-backed loans that are not over-collateralised.
You deposit $10,000 worth of BTC in a multisig and you get a $10,000 loan, over 4 years.
The interest rate can be much lower than what's available today, if the institution has a stake in the rise of the collateral.
Say the $10K worth collateral is worth $18K, at the end of the loan.
The lender could be entitled to a small percentage (3-5%) of that growth, if the interest they charge on the loan is say 5% or lower.
Just my 2 sats...
What do you think?
The lowest growth over a 4-year period that I could find was ~80%.
Now, imagine a financial institution that gets this.
That institution could issue Bitcoin-backed loans that are not over-collateralised.
You deposit $10,000 worth of BTC in a multisig and you get a $10,000 loan, over 4 years.
The interest rate can be much lower than what's available today, if the institution has a stake in the rise of the collateral.
Say the $10K worth collateral is worth $18K, at the end of the loan.
The lender could be entitled to a small percentage (3-5%) of that growth, if the interest they charge on the loan is say 5% or lower.
Just my 2 sats...
What do you think?