glowleaf on Nostr: I believe at some point even unspendable utxos will be able to be offered as ...
I believe at some point even unspendable utxos will be able to be offered as collateral.
It's the same with gold.
Let's say you have a small golden nugget. Getting it verified might cost half of its price. But if you show it to someone, thus proving that you own it, they might consider the risk acceptable and lend you the money.
Bitcoin can be verified with a simple wallet signature and even if it can't move on-chain due to high fees, it's still there.
I think microlending services will happily take them. Perhaps even with accepting the seed words themselves in case of liquidation.
That doesn't mean that you shouldn't consolidate your utxos when the fees are low. I'm just saying it will become so valuable that people will find a way to use even the smallest bit.
Published at
2023-12-17 12:14:03Event JSON
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"content": "I believe at some point even unspendable utxos will be able to be offered as collateral. \n\nIt's the same with gold.\n\nLet's say you have a small golden nugget. Getting it verified might cost half of its price. But if you show it to someone, thus proving that you own it, they might consider the risk acceptable and lend you the money.\n\nBitcoin can be verified with a simple wallet signature and even if it can't move on-chain due to high fees, it's still there.\n\nI think microlending services will happily take them. Perhaps even with accepting the seed words themselves in case of liquidation.\n\nThat doesn't mean that you shouldn't consolidate your utxos when the fees are low. I'm just saying it will become so valuable that people will find a way to use even the smallest bit.",
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