Pages:
Author

Topic: [CLOSED] Tomatocage's 1% interest loans, up to 20 BTC (collateral required) - page 8. (Read 11457 times)

legendary
Activity: 1554
Merit: 1222
brb keeping up with the Kardashians
Yes, and the collateral should also be secure.   No mention of what would be done with the litecoins.  Will he simply hold them, or will he play investment games with them.   Whose to say the borrowers would ever see their collateral again should something like the gox rumors make the price sky rocket.

That's a risk people take when entrusting their coins with anybody, whether that be me, Theymos, John K, or Joeyjmr8484.
member
Activity: 109
Merit: 10
And in the case of no default, you've received an interest free loan of 2 BTC for a week, you can't really lose.
It certainly isn't dumb from your side of the deal.

I'm giving out interest-free loans, so it's only fair, no?

Yes, that is a very smart way to do it, way to go.  Murraypaul, A collateral is always supposed to be worth more than the actual loan.

Yes, and the collateral should also be secure.   No mention of what would be done with the litecoins.  Will he simply hold them, or will he play investment games with them.   Whose to say the borrowers would ever see their collateral again should something like the gox rumors make the price sky rocket. 
legendary
Activity: 3192
Merit: 1279
Primedice.com, Stake.com
This is the way loans should be done, the massive interest/default rates are simply a joke. Great how sustainable this is as well, there is so much incentive for the borrower to pay you back and even if they don't you profit. I'm sure we're going to see a lot more threads like this soon.

Exceptions to collateral should only be made for highly trusted members and only with good reason.
legendary
Activity: 868
Merit: 1000
ADT developer
everyone wants to do LTC as collateral since my 5btc loan lol

Yeah man, you set the high-water mark. So if anybody complains about the terms, you're to blame Tongue

I am glad I set the bar so high as it has lead to 0 interest loans for more people and hopefully makes the use of collateral more wide spread Smiley   

what you are doing is good and I hope more people do the same Smiley

(I sent 500LTC collateral for a 5BTC loan so your doing it for a lot less % wise just remember that LTC can go up or down over 20% don't want you to end up out of pocket )

legendary
Activity: 1554
Merit: 1222
brb keeping up with the Kardashians
everyone wants to do LTC as collateral since my 5btc loan lol

Yeah man, you set the high-water mark. So if anybody complains about the terms, you're to blame Tongue
legendary
Activity: 868
Merit: 1000
ADT developer
everyone wants to do LTC as collateral since my 5btc loan lol
legendary
Activity: 1414
Merit: 1808
Exchange Bitcoin quickly-https://blockchain.com.do
Will you take btct shares as collateral?
vip
Activity: 1316
Merit: 1043
👻
What would prevent someone from simply exchanging the LTC to BTC?
They may not always want to - for example, if they want to hold a long position on LTC but need BTC.
legendary
Activity: 3472
Merit: 1724
What would prevent someone from simply exchanging the LTC to BTC?
legendary
Activity: 948
Merit: 1026
You cannot blame 0 risk, 0% loans.
or a currency exchange with a 20% fee.  I'm watching with interest.   Smiley
sr. member
Activity: 336
Merit: 250
Cuddling, censored, unicorn-shaped troll.
This thread is 50% educative and 50% trollish, and thus I like it. Grin

As much as I sincerly doubt anyone will use it - although it might prove to be very useful in some rare circumstances, 0% loans need to be praised.
Stunna who offered the same service without the collateral requirement already got scammed for 0.4BTC, it seems.

You cannot blame 0 risk, 0% loans. They can be useful to some people, period.
legendary
Activity: 1554
Merit: 1222
brb keeping up with the Kardashians
You are receiving interest free loans. It is equivalent to:
You provide me with 10 BTC collateral, and I loan you 12 BTC worth of LTC for a week.

It sure is a strong deterrent from running off with my coins though, isn't it?
legendary
Activity: 1736
Merit: 1029
And in the case of no default, you've received an interest free loan of 2 BTC for a week, you can't really lose.
It certainly isn't dumb from your side of the deal.

I'm giving out interest-free loans, so it's only fair, no?

Yes, that is a very smart way to do it, way to go.  Murraypaul, A collateral is always supposed to be worth more than the actual loan.
sr. member
Activity: 476
Merit: 250
You are receiving interest free loans. It is equivalent to:
You provide me with 10 BTC collateral, and I loan you 12 BTC worth of LTC for a week.
legendary
Activity: 1554
Merit: 1222
brb keeping up with the Kardashians
And in the case of no default, you've received an interest free loan of 2 BTC for a week, you can't really lose.
It certainly isn't dumb from your side of the deal.

I'm giving out interest-free loans, so it's only fair, no?
sr. member
Activity: 476
Merit: 250
And in the case of no default, you've received an interest free loan of 2 BTC for a week, you can't really lose.
It certainly isn't dumb from your side of the deal.
legendary
Activity: 1554
Merit: 1222
brb keeping up with the Kardashians
(Scratches head)
So I send you 12 BTC worth of coins, and in return you send me 10 BTC worth of coins, and a week later we swap back?
See, to me that isn't you lending me 10 BTC, it is me lending you 2 BTC. (And paying all fees, and having no security.)
Is anyone dumb enough to take you up on it?

What's so dumb about it? In the event of a default, I have 120% of the value I loaned out. If you're long on LTC and don't intend on selling any time soon, but you need an extra 10 BTC infusion, this is a perfect opportunity. These loans are not for those who have nothing to begin with,  nor are they for those who have no intention of paying back. Though I certainly welcome the latter Cheesy
sr. member
Activity: 476
Merit: 250
(Scratches head)
So I send you 12 BTC worth of coins, and in return you send me 10 BTC worth of coins, and a week later we swap back?
See, to me that isn't you lending me 10 BTC, it is me lending you 2 BTC. (And paying all fees, and having no security.)
Is anyone dumb enough to take you up on it?
legendary
Activity: 1736
Merit: 1029
Yeah 1 week is just the default term. If you need a different term length, just throw it out there and we'll go from there.

Oh ok, Was just wondering why such large loans have such little time
legendary
Activity: 1554
Merit: 1222
brb keeping up with the Kardashians
Yeah 1 week is just the default term. If you need a different term length, just throw it out there and we'll go from there.
Pages:
Jump to: