[Mr. Moe]

Hello HF guys,

I saw another user do something similar here w/ progress updates, I'd love to do the same!

Price just dipped and I just got the craziest FOMO. I ran out of liquid capital outside my emergency fund. Therefore, I applied for two credit cards which are arriving in a few days (totaling ~10,000$cad). These cards have promotional offers for balance transfers of about 9-10 months. When the balance transfer promotions have elapsed, these cards have low interest (for credit cards). Annual fees are rebated on this card for a limited time. I've already completed a cash advance of $3,000 on my main Credit Card to start. I am purchasing $10,000 CAD worth of BTC in the span of the next few weeks as credit cards slowly arrive.

I'd love to know what you guys think about this.
Any thoughts, recommendations, or even just feedback is appreciated!

[Neal Caffrey]

yeah people will tell you 'oh don't buy on debt' and all that garbage, ignore those retards, they are obviously pussies

just make sure that IF your holdings go to zero (i.e. you are hacked, cex goes down where you're holding it, or whatever) you have the capacity to pay back the credit cards

[Mr. Moe]

Update 2024-08-27
Down $548.45
Down 5.9%

[Omniscient]

What's crazy is that in America you can't go to jail for debt. So if you can buy a TON of BTC on credit then not pay and eventually claim bankruptcy meanwhile your crypto is in a private wallet. Seems like a loophole.

[F4tDoinkz]

What's crazy is that in America you can't go to jail for debt. So if you can buy a TON of BTC on credit then not pay and eventually claim bankruptcy meanwhile your crypto is in a private wallet. Seems like a loophole.

Oh my god this is a fantastic idea. Thank you OMNI!

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I would argue putting in with a credit to be a smart idea

[Mischievous Bot]

What's crazy is that in America you can't go to jail for debt. So if you can buy a TON of BTC on credit then not pay and eventually claim bankruptcy meanwhile your crypto is in a private wallet. Seems like a loophole.

Oh my god this is a fantastic idea. Thank you OMNI!

---

I would argue putting in with a credit to be a smart idea

Crypto is considered an asset in the US and Canada, if you declare bankruptcy your crypto will be seized and sold off to pay back your debtors.
So you don't go to jail but you don't keep your crypto.
If you hide your crypto and get caught, you're in trouble for tax evasion.

As for OP's strategy, talk about putting all your eggs in one basket.
Makes me think of my buddy who swears LUNC is going back up anytime now.

Make no mistake, this is Gambling and not an investment strategy.
But hey, hopefully OP comes out on top.

Good luck!

[TooBurnt]

What's crazy is that in America you can't go to jail for debt. So if you can buy a TON of BTC on credit then not pay and eventually claim bankruptcy meanwhile your crypto is in a private wallet. Seems like a loophole.

I’m 1 year into a 3 year plan on doing this

[Mr. Moe]

Crypto is considered an asset in the US and Canada, if you declare bankruptcy your crypto will be seized and sold off to pay back your debtors.
So you don't go to jail but you don't keep your crypto.
If you hide your crypto and get caught, you're in trouble for tax evasion.

As for OP's strategy, talk about putting all your eggs in one basket.
Makes me think of my buddy who swears LUNC is going back up anytime now.

Make no mistake, this is Gambling and not an investment strategy.
But hey, hopefully OP comes out on top.

Good luck!

You're absolutely right, what I'm doing is called "leveraging" & it is considered gambling. My perspective is that everything is a "gamble" but I weigh it out based on probabilities. There are more pros than cons when I analyzed this decision. Even if a "con" occurs and I pay a ~15% interest after the first year's 0-1% interest - I still think it's worth it based on a BTC CAGR of ~80%.

The term on my CC loans are ~ 1 year.

Within a year we have a few key factors which increases the probability of a favorable outcome on this leveraged investment:

Pros:
- U.S. elections
- QE already started ~ month ago
- M2 started picking up a few months ago
- Rate cuts seem imminent as CPI YoY < & error on unemployment data recently
- BTC 4y cycle trend, hash rate >, and other metrics

Cons:
- Chance of recession
- Geopolitical conflicts
- Black swan events

[Blockonome]

Hopefully what you are doing is good, but not something I would personally do.

[Portugals]

I hope everything goes as planned brother

[Mr. Moe]

Update 2024-10-01
Down $154.12
Down 37%

[Annuit cœptis]

Keep us updated, you've caught my interest.

[HOMODIN]

I actually thought about buying on credit, but haven't found a good enough platform to buy the crypto on using cards. Most have retardedly high fees when using cards (I'm open for suggestions). Here you can get interest free usage on CC's, some give it for 30 days and some up to 45 days so one could just play with the money for a month, pay the debt and keep the profit and then repeat...

[Chrome]

What's crazy is that in America you can't go to jail for debt. So if you can buy a TON of BTC on credit then not pay and eventually claim bankruptcy meanwhile your crypto is in a private wallet. Seems like a loophole.

Hmmm, not really. You will put all of your eggs in one basket. If crypto fails then youre in a position where you're going to go bankrupt or you're already bankrupt and have no weath, also no ability to build any wealth.

It's all about hedging your investments and make sure while you're doing that you make your payments lol.

[Mr. Moe]

Hmmm, not really. You will put all of your eggs in one basket. If crypto fails then youre in a position where you're going to go bankrupt or you're already bankrupt and have no weath, also no ability to build any wealth.

It's all about hedging your investments and make sure while you're doing that you make your payments lol.

Which factors of Bitcoin failing will overweigh the upside potential? I don't see it, but I'm always open to hearing others thoughts.

Also, what do you mean about hedging BTC?

Hedging isn't really an instrument used to make profits in this sector. Even when options are released and if you sell covered calls, you're losing the ~ 80% CAGR potential for passive income.