BTCUSDT20240801C76250
Bitcoin / Tether USD Aug 1 2024 76250.00 Call
crypto

Let’s look at some macro level facts. We’re currently going through an on-going wealth transfer of 100+ trillion over the next 20 years from silent/boomer generation to the younger. The rate of transfer each year will increase (as mortality goes up as age goes up) and we’re kind of only near the beginning. The adoption rate of BTC by silent/baby boomer generation is 10%. The adoption rate of every generation below boomer (gen x and down) is 42-50%. What I’m implying is that as wealth transfer to younger generation we most certainly will expect to see increase demand for btc. It’s only a matter of time.

Until you stop asking about how many dollars your BTC is worth and start laughing about how many dollars your BTC is worth.
At that point you diversify some.

For actual payments BTC fees and volatility make it the worse choice, stablecoins on a cheap chain win that race pretty easily

I would add scarcity. Only 84mil to be mind and capped at 84mil there are 77.3 mil in circulation supply! Still the second most transacted coin next to BTC. Speed is faster than BTC and probably at one time it was #2 coin and dubbed the silver of crypto. I’m a firm believer that the majority of crypto owners who joined the crypto wave in 2021 going forward have no idea what LTC is or its value. But the whales do! Hold JMO

I really don't, OP's bet is essentially a ~50% annualized return upside with limited downside risk provided BTC stays above ~$50K and Saylor doesn't titanically dilute current shareholders - neither of which are impossible but neither of which are super likely either.

Nice to see a more realistic curve than the original BTC rainbow

Why not sell the BTC and buy a call option? I suppose, if there are capital gains, you would take a tax hit. But, if there are capital losses, you would have the added benefit of realizing the loss.
All you would be out would be the cost of the option — compared with the borrowing cost on the margin loan.

It might, it depends on how much the lender will ask as guarantees. While they might feel comfortable taking 110k in bonds for a 100k Loan, they might take 200k in BTC guarantees for 100k in BTC, since its so volatile they won't be sure how much it will be worth in the occasion it gets liquidated

Yes but not in the way BTC Maxis think they do. They have no way to influence the network. They are either relaying or not relaying, the decentralized network does not care.
They are there if you have any need of blockchain data or need Maximum Privacy for 99.9% user use cases SPV wallets are fine.

If BTC is tax free for you and I was up $16M I would probably have sold at least $2M of my stash so I could retire forever. But you do you

Nice job bro. BTC, ETH, and DOGE helped me with a downpayment on my house back in 2020-2021 after i held for 2 ish years. Time in the market beats Timing the market!!!!

Easy to criticize but there’s a lot of people who bought on 60k years ago, and you have much more BTC if they bought and sold according to cicles.

If you're selling, then you don't truly understand BTC and aren't investing into it because of it's functionalities. Instead, you're just a trader..

Was wondering if you were to buy as an example 10k worth of BTC this cycle at or near the bottom 65-45k and then wait until this cycles ATH to take out a loan at a high LTV ratio & let it get liquidated, let’s say around 175-250k …
Wouldn’t that be better than selling at that range because of taxes?
Why or why not?

Yes that's why BTC is broken. Time something else

I just want to contribute, man. On the BTC side, everyone says to run a node because it helps secure the network by enforcing consensus rules, I guess. BCH seems pretty awesome so far. So I'd like to contribute. That's all.

So far.
It's a long term investment. You need 8 to 12 years to see the returns you want. I bought all through covid. I am up a bit. The next ATH will be sweeter and I plan to skim a bit off the top to help me out, new car, maybe a down-payment on a mortgage for a house. Potentially use the BTC as collateral. Depending on how high the ATH is. And I only plan to skim enough that it's barely notable from my investment pool. But that it would be significant enough to me in my personal life.
The next bull run for you is where you need your diamond hands. It's so hard not to sell when you see a huge return on your investment. If you need to skim a little but off the top. Not much because every bit you take is likely taking double from the next bull run.

> BTC will tank initially but then it will start pumping while sticks will continue to crash.
Yeah the stick market is dead

Its a fair point and the revolutionary language does probably get overused. But the end goal is simply a fixed supply, censorship resistant asset in a world where governments can print money infinitely. After a crash people repurchase for the same reason gold bounced back in 2008, because the macro conditions that made it attractive don’t disappear because the price dropped. BTC is more like gold, no cash flow but the value proposition is scarcity and trust. Gold has no ‘intrinsic value’ either by that logic, it’s just that we’ve collectively agreed on it for longer.
I was also primarily answering the question for crypto as a whole though, not just bitcoin. There are utility networks completely different to btc that are platforms people are building on and paying to use. When demand for blockspace goes up, the token value reflects real usage. Institutions are interested in these just for token price purposes though, they can potentially solve problems and be integrated into existing infrastructure.

Wdym by "more stable"? Borrowing against your BTC means giving up custody of it. That's an unavoidable trade-off and nothing can change that, not in a million years.