Topic: Collatoralizing, Borrowing-Against, Leveraging or Arbitrage Of BTC As An Asset (Read 137 times)

This is not arbitrage, but rather borrowing and investing, so you borrow an asset at a low interest rate and invest in a high-risk asset, but with a faster interest rate, and the profit difference is the amount of risk, and this is exactly what banks do, as they take currency deposits and give them a low interest rate in exchange for investing that money and benefiting from its high profits.
Arbitrage occurs when selling the same asset in two different places so that there is a difference between the two prices, such as buying Bitcoin from OKX at a price of 43,000 and selling it at HTX at a price of 45,000 dollars at the same time.

You can close Bitcoin liquidity providers, as these platforms provide liquidity in exchange for giving you profits, or invest in POS staking.

Yup, Sovryn is quite an interesting tool that I also stumbled upon recently. I'm yet to properly test it, however I am quite keen on its value proposition and what it is offering for Bitcoin. In past cycles, these kinds of tools were not available for BTC, only centralized. It will be interesting to see if this tool gains popularity in the next bull run.

In terms of ordinals, that is a much different game to income. You are risking capital to mint something that is arguably worth nothing. If you hunted for ordinals, how much would you spend before you find something valuable?

I don't think there are guaranteed, legitimate BTC income opportunities for mainnet BTC, there are some standing the time test in other spaces but even then, I wouldn't call them 100% guaranteed and safe yet.

There is nothing interesting about ordinals, maybe it is for people who use it or promote it, but it contributes nothing to the BTC network, instead it makes BTC unusable due to the high tx fees it caused, people can no longer spend BTC because of the amount they have to pay in fees. I don't think anyone who truly cares about the BTC network would support ordinals spam attack or even use it.

Ordinals aren't earning opportunities. They are a coordinated spam attack on the Bitcoin blockchain meant to make it ineffective for normal and cheap P2P payments. It's an organized attack by proponents of bigger blocks with the addition of finding a big enough market of interested parties in their inscriptions. Look at it like this: oh, so you don't want to increase the block size? Fine, now enjoy our never-ending attack on your small-block network.   

Sounds interesting, I will take a look at it.

On another note, the entire ordinals process for BTC sounds very interesting. "Earmarking satoshis for noteworthy events". Maybe not using your BTC to create income, but a great way to hunt for key satoshis. Almost like sorting through pennies to find mint marks and rare coins.

Either way, I'd be happy have this thread become populated with legit BTC income opportunities.

there is a Project I know called Sovryn (Link: https://Sovryn.app) which allow you to borrow multiple cryptocurrencies using your BTC as collateral. it is easy to use and also Decentralized. Deposit and withdraw all are seamless there. I've used this app several times without any issues. they also have good customer support for your assistance.
here is the Link to their Lending Page: https://alpha.sovryn.app/borrow
You should take a look at that.. I think that would finally end your search.

Uhhh.... no. I'm talking about credit card arbitrage in that example directly. But I'm using it as an illustration to loosely elicit understanding here to my point about using BTC to make money without disposal of the asset. When you borrow money from a credit card, at a low interest rate, and then invest that money at a higher rate for profit, that is arbitrage.

To your other point, yes I have swapped coins at moments of opportunity in the past. Specifically with ETH to acquire my first full BTC at the time. And the key there is not just to come out ahead in volume on it's own merits, but to come out ahead in volume greater than you would have at the moment you bought the original asset being swapped out. I wrote a very simple formula on a nice, childlike spreadsheet to help queue me to those moments of benefit in swaps and it's served me well every time.

And yet that still does not address the topic at hand - using your BTC somewhere in the markets to make money without disposing of it. I am looking for "on-topic content substance". Yawn and facepalm

what you describe is not arbitraging, its actually called "stoozing" which is part of margin trading
the downside of it is although there is no interest. there is still repayments meaning you cant just lock all the funds in for a long period investment. because you gotta withdraw some money monthly to make repayments

..
arbitraging is taking advantage of more then one market pair. to cycle the funds around to get back to the base market with a profit
EG
[btc-eth] [eth-usd] [usd-btc]
or counter clockwise
[btc-usd] [usd-eth] [eth-btc]

leveraging is again not the name of the game you want to play. leveraging is where you take margin position (the borrowing) but multiply(beyond the amount you have)

And I agree with him as you've posted it here. We are definitely in the same spirit of conversation here......

Some time ago I saw Renato Amoedo, a Brazilian anarcho-capitalist bitcoiner, saying that in the future we will be able to have collateral backed by bitcoin, we can even live off fiat loan interest on them, since fiat money will always depreciate, this is one of the ways that I know there will be possibilities in the future, these are obviously just possibilities.

I would also like to know more about this, a way to perhaps monetize our satoshis and make money with them without having to sell them.

I have an ongoing interest in finding out a variety of ways to use my BTC that doesn't involve selling it.  I'm finding that information about doing this is either the most closely guarded secret in crypto, or that nobody actually knows (myself included).

There were methods in the past, but they all went out the window with companies like BlockFi stealing stakeholders crypto and folding into bankruptcy. If I had more to offer than that, I'd post it here, but unfortunately I might be taking more information from the community on this one than exchanging useful information.

What methods does everyone know about to use your Bitcoin as an asset or high-interest earning vehicle rather than "having some and selling it"?

For example, I can arbitrage my high-credit limit from a CC issuer whom I've had an account with since '99. They will have an offer 0% and deposit the funds to my account directly (it's possible they only do this for long-term customers or 800+ score holders for anyone who wants to insist that this doesn't happen - I promise you that it does). I then take the funds and arbitrage them into something like PDI at almost 15% for the holding period. I've leveraged my credit and done it on "reputation".

But here we are as BTC holders - we have an asset.  There should be an entire market out there whereby you can leverage your BTC for income-schemes.

On a side note, please don't DM me to recruit for your personal income-scheme. Not interested, won't bite, you've got the wrong guy. But otherwise, I'm absolutely appreciative of any real insight, or publicly available tools.
Thank you in advance for anyone's market wisdom.