Why Nostr? What is Njump?
2025-05-10 22:10:13
in reply to

jack mallers on Nostr: Bitcoin-backed loans don’t strengthen fiat. They let Bitcoiners access liquidity ...

Bitcoin-backed loans don’t strengthen fiat. They let Bitcoiners access liquidity without selling their Bitcoin, reducing selling pressure and keeping Bitcoin held as an asset. The demand for dollars in these loans is temporary, serving as a bridge to maintain Bitcoin exposure. People can take the fiat from these loans and buy Bitcoin if they’d like.

If anything, they increase demand for Bitcoin, not fiat.
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