Are you going to hold all your BTC through the next 4 year bear market then, if history repeats?
There are some ways to extract a low yield (Grow, Nexo, etc.) of 3-9% with BTC, but as we all know - not your wallet, not your coins.
My strategy assumes mainly that I can't time the market.
Why not? Its not really 4y either, maybe 1y/2y of suffering at most. But with sufficient size does it matter if your portfolio is down 50% or so?
Can you do this? Is it as simple as it sounds?
that yield is very low for the risk. Plus with such a cagr you dont need extra yield.
Ideally - yes. But in the end it comes to whoever has the bigger war chest - the "crypto punk" idea is quickly losing the "punk" and getting sucked into the old good kyc/aml world.
actually not at all really. You know how shitty it was to exchange in 2013? Today is a walk in the park in many countries compared to 10 y ago.
True! *BUT* core developers should adopt Satoshi's "religion" of being anonymous and invisible!
#MASTER life wisdom right here!
I am a bit hesitant to hold through the next bear for many reasons,
old trick. When you sell at 500% profit, it’s not so difficult to offer a guaranteed ROI. I did that in Portugal all the time with Golden Visa rubbish overpriced real estate.
its no biggie really if you hold a 2y cash.
nah, bitcoin is what you wanna hold then more than other things.
no issue and thats not really a case for concern either if have single use addresses which you will have these days until you run your own things which i think you dont.
no biggie either. If china could not stop it, no one can, especially not the usa which is divided.
look at the hyperinflation chart from 1920s. in hindsight they are a fact, but that's no guarantee you will hit it. good luck
That is a very nice and interesting strategy, thank you.I'm in a similar boat @cryptofriendly
I've missed to sell in all the cycles so far, in the long term that played put nicely, but there is some opportunity cost for sure.
I have decided to never sell mostly appreciating asset like btc and eth but I do borrow against it.
However I"m not doing the 90% you suggest as a way to sell 10% off the top, but at healthy collaterial levels, so ideally i don't get liquidated.
I use the funds which are not taxable (great additional benefit) to fund businesses and as of recently some RE in Dubai as I like the city and don't mind spending more time there. Yes the RE market there is crazy right now and have signs of mania, but analyses are mostly favoring continued but slower increase and also everyone there offers payment plans ( 60% during construction, 40% on handover is the most common) so you can use that additional leverage without dealing with banks.
A lot of people put 20% downpayment for a property, and as soon as the overall price of the property rises with 20% they sell, making 100% on the money they put in. I'm more of a long term guy since my portfolio is risky enough as it is, but just giving an example.
What attracted me about this market is the relatively high passive income from renting (long term 6-9%, short term 9-15%, depending on ton of factors)
so here is something that certain people mind find cute
1. stake ether, currently passive yield of 3.5%
2. BUT you can borrow against it at 3-5%, considering you will borrow maximum 30% of the collaterial value, you are basically at negative interest. So you are getting paid to borrow
3. Use those money to buy RE with short term rent income of 10%+
result, you keep the appreciating asset and have double passive yield on it WITHOUT generating a taxable event by outright selling.
example:
1. You have $3M of staked eth at 3.7% yield (current rate at lido) generating +$111000 per year
2. you borrow $1M DAI against that eth at makerdao at 7.16% (damn they have increased it, used to be 5.25% until recently) costing you -$71600 per year
so you are ahead $39400 from this borrowing exercise while keeping the appreciating asset and not creating taxable event AND having a healthy collaterial ratio
3. You then by RE for that $1M that makes you 10% net (possible right now in Dubai with short term rent, that % is after the management company fee, so it's passive net 10%) giving you $100k per year
result $139k really passive income per year for every $3M worth of ETH you have or 4.63% while keeping the upside potential and not owing any taxes unless you want to self report you property in Dubai to your home government and pay the income tax on the $100k
Not great, but not terrible either and not long ago the stETH yield was 7%+ and borrowing against it at 2% so was even better.
Also somewhat balancing your risky crypto portfolio with some real estate
open to suggestions for improvement
Wio (UAE) offers 5.5% on AED if you lock it in for 6 months.
Maybe you wouldn't get 60 millions but enough to buy me a cup of coffee you could do
You can get more than this on USD in Cambodia, the least you should go for are 9%, you could even still get 11%, but I'd be more selective with banks in Cambodia currently.
www.wooribank.com.kh
It's in South East Asia, not Korea itself, but Korean bank with Cambodian branch. Though account opening requirements got stricter again,
I start to think that they just wait until all the creditors die and they don't need to pay anything.
USDT is worth 12% yield currently on the platform I use for my options
Doubt we’ll have a similar cycle this time. Supply shock driven by ETFs will probably drive us up and consolidate for a long time rather then a 50% retracement down. Retail drove prior bear cycles. Retail is no longer in charge. Or at least won’t be for much longer.
Agree. The "new buyer" who is buying these ETF products is different than retail from the last cycles. BTC will have major retracements in the future nontheless but not 50-80% like in the past.
What real estate is good? Many places are OK. If you look in the best, safe, Ultra Modern neighborhood of Manila called "BGC" you can get a good condo depending on size, amenities, view, floor, etc. from about $100,00 for a studio up to practically infinity like $5 million for a 500m2 penthouse. I just bought a 2 brm 2 bath in the $300,000 range. I like the fact that the prices, condo fees, real estate taxes, and everything else in BGC are maybe 20% or less than in Miami, Phuket or French Riviera costs. Air BnB is legal. Price appreciation is expected to be at least 10% a year in U$A dollars. Rents in BGC can give you a 20% annual yield. Most Manila condos have the problem of rapid deterioration after the developer sells all his units, but Ayala properties have a record of excellent maintenance. I am retired and don't have much to do so if you are in the Philippines and want no-cost advice (if you buy me a hamburger & a beer), feel free to contact me. I like Offshore Corp Talk for responsible advice you don't see much of on the Net, Good Luck! Peter Taradash
