I was looking for a way to leverage Bitcoin over a longer period. This is the solution I found and the considerations I made to get there. I had two options: take out a loan to buy Bitcoin or invest in a leveraged Bitcoin ETF. However, both options had significant drawbacks, which led me to choose a different path:
A Security-Backed Loan.
Since you can’t take out a securities loan against BTC ETFs, I decided to purchase #MSTR, whose shares I can leverage at 35%, and used that to buy Bitcoin. This is just a small-scale experiment for now. As long as a margin call isn’t triggered and Bitcoin outperforms the interest on the loan, I’m optimistic this could turn out to be a good move.
I’ll keep you updated! #BTC
Nashi / Ogon No Nashi
npub15u…ygmnc
2024-09-19 10:28:12
Author Public Key
npub15ua92xd3ymsugwegr82csftxn8hnqame2tq88qdjsf8aflxptnmqlygmncPublished at
2024-09-19 10:28:12Event JSON
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"kind": 1,
"tags": [
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"content": "I was looking for a way to leverage Bitcoin over a longer period. This is the solution I found and the considerations I made to get there. I had two options: take out a loan to buy Bitcoin or invest in a leveraged Bitcoin ETF. However, both options had significant drawbacks, which led me to choose a different path: \n\nA Security-Backed Loan.\n\nSince you can’t take out a securities loan against BTC ETFs, I decided to purchase #MSTR, whose shares I can leverage at 35%, and used that to buy Bitcoin. This is just a small-scale experiment for now. As long as a margin call isn’t triggered and Bitcoin outperforms the interest on the loan, I’m optimistic this could turn out to be a good move.\n\nI’ll keep you updated! #BTC",
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}