When a person says "I am never going to sell my bitcoin. I am going to take a loan against my bitcoin and live that way", how do they plan on paying the loan back? How is that quality of life any different than the average joe who retires at 70?

>>60624208 (OP)
Bitcoin cannot function as a currency, friendly reminder.

>>60624208 (OP)
Jeff Bezos pays no income tax because he only takes out "loans" against Amazon stock.

IRS put Capone in prison by showing he was "enjoying value" AKA "income".

>>60624208 (OP)
It's a retarded meme that makes no sense and is horrible advice. You have to pay back the loan by selling btc, same tax concequences. For fiat denominated loans it's essentially leverage until that happens. Usually these morons reply woth "you take new loans to pay the old loans and then die without paying any of the loans".

"take a loan" meme
where will you get such?

Let's say BTC is at $120k and you have 1 BTC and then take out a $60k loan to buy a car.

Then BTC goes to $200k, your net BTC is worth $140k (200 minus the 60k loan) plus the $60k car so your net worth is $200k.

Compare that to if you sold half your BTC for the car and now you have $100k worth of BTC and $60k of the car.

This only works well when BTC is going up, if BTC goes down then you need to sell even more BTC to cover the loan vs if you just sold the BTC outright.

>>60624208 (OP)
in time you will discover that bitcoiners have very little practical knowledge and talk out of their ass.

>>60624208 (OP)
>>60624243
>>60624271
I literally did this 2 years ago and now my loan is like 10% of it's original value in BTC.
I got to spend 100k and it cost me 10k.
Seethe brainlets.

>>60624208 (OP)
its basically a meme because rich people dont sell stock to evade income tax. they take a loan and pay the interest because its lower than income tax

>>60624208 (OP)
>how do they plan on paying the loan back
they won't, they'll claim they borrow at 20% so the loan will inevitably pay itself back when it goes up, but what happens is they'll just get liq'd when it goes down, 90% of people lose their money in the markets

>>60624307
Right, you took out a loan, bought bitcoin, now you have more money. But you need to pay the loan back right? So you'll sell bitcoin or something, incur taxes. So you didn't really do what the OP said.

>>60624240
How does Bezos pay the interest on those loans then?

>>60624307
Walk me through this step by step please

You take a loan and your btc gets locked. As the value of your btc goes up, so does your collateral and you can unlock that part. If you have other sources of income, it's a really good way to make a lot of money and without selling your crypto. Of course, the ideal is taking the loan during the lows. I've been doing it without a single problem. Yesterday I was able to unlock a huge part of my collateral.

>>60625765
what you do is be rich, take out loans against your stock as collateral and then spend that like your income. it's not too different from income except it's tax-free because you are taking a loan, not earning income. then you can sell stock or just sell calls or something like that to make payments

>>60625889
>sell stock or just sell calls
Then it's not tax-free. Those are taxable events.

I talked with chatgpt about it. Basically you just take out loans til you die. Or you pay them back one way or another.

>>60624262
Someone is not retarded.

I didn't do that, but my plan in 2022 was to take out loans to buy more bitcoin and live on credit cards until bitcoin hit 150k.

>>60624262
> This only works well when BTC is going up
So always. By everything else going down.
This is exactly what Saylor figured out and acted upon before others did. The bear markets are just there to get more off it.