DEBIFI Bitcoin Backed Loans (No Rehypothecation)

[@WilliamAMilley]

Considering a young mid income, short term minded person with constant need for cash, are these still worth investing into? I am new to all of these and have incurred so much losses, I am beginning to think I am not doing what is good for me but just following people blindly.

[@FrankBenjamin-l3b]

Following you has been an amazing journey , you have shown me the best way to earn much better profits despite the bad economic situations, God bless you with more knowledge cathrine adriana...

[@chinyerejoseph8004]

It’s precisely at times like these that investors need to be on guard against the next certainty. You don’t have to act on every forecast. I will also suggest investors to get yourselves a financial-advisor that can provide you with entry and exit points on the shares/ETF you focus on.

[@FavourGift-en6en]

Great to see you guys talking of adriana, Trading on your own can be very dangerous i can testify to that. This woman changed the game for me

[@WilliamAMilley]

Any info on how i can communicate with her, i'm new at this

[@FrankBenjamin-l3b]

she often interacts on Telegrams

[@mattprez]

I think this is super interesting and will evolve over time. For those poo pooing on the higher rates, just remember: No KYC, no loan assessment, nothing. Just pure peer-to-peer lending. As this type of lending becomes more mainstream stream, the rates will reduce as the adoption expands.

[@tygyrlylly8079]

Just needs more competition!

[@JivanPal]

> As this type of lending becomes more mainstream stream, the rates will reduce as the adoption expands. This is simply not true. The rates on these kinds of loans are high because the risk to lenders is high, because they have no assurances that the borrower will make good on their scheduled repayments. This is the whole reason for credit-scoring systems existing; creditworthy people get better rates.

[@KnightMinstrel]

​@@JivanPal, I'm not sure what kind of risk there is for the lender since the loan is over collateralized. If the borrower is not paying, the collateral gets liquidated.

[@JivanPal]

@@KnightMinstrel Ah, I see that now for this platform, just checked their website. Personally, I think such lending criteria makes this basically useless for most people. Frankly, I wonder about the use case for taking out a loan for an amount of money less than the collateral; it makes no practical sense to me. There are plenty of more standard, under-collateralised lending platforms available.

[@grizbaseball]

To be a successful business owner and investor, you have to be emotionally neutral to winning and losing. Winning and losing are just part of the game. Risk comes from not knowing what you are doing.

[@ysareyes]

People dont understand that the prices of things are never going back down. This inflation is deeper than we think. Those buying groceries are well aware that the real inflation is much over 10%. The increments dont match our income, yet certain investors still earn over $365,000 in stocks and assets. Wish I could accomplish that.

[@bombasticlove76]

Very possible! especially at this moment. Profits can be made in many different ways, but such intricate transactions should only be handled by seasoned market professionals.

[@quantarrow]

I'm surprised that you just mentioned and recommend Mr Brian Nelson. I met him at a conference in 2018 and we have been working together ever since.

[@IshrakHossain-rt8is]

Sounds interesting. I was planning to invest some few £ in some coins, stack them up and leave them for a few years, but seeing this changed my mindset. Thank you very much

[@quantarrow]

he's mostly on Telegrams, using the user-name

[@alx4571]

21% APR for 200% collateral is crazy

[@cramsa]

Def a bad deal.

[@arbo3495]

And what do you do with liquid usdt in real life? Can you sell them on an exchange without paying taxes given that you had no capital gain?

[@VamosViverFora]

Bitfinex

[@pran10000]

1. Bitrefill. 2. Trade P2P for bank transfer or hard cash.

[@benhur120476]

No tax cuz it’s a loan

[@benhur120476]

You haven’t sold your btc so no benefit from selling and you can declare the interests as expenses to reduce your tax bill

[@trujiillodivecenter5913]

So can I deposit more colateral in from the very begining to be safer if a crash happens ? or i would have to be all the time worry and close to my computer to add more at 12 am on a sunday ?

[@_iam__welma_1153]

Great tutorial! By the way which platform are you using to display and interact with your phone on the PC?

[@100kjpeg7]

rates need to be same as auto loans.. until then it's garbage.

[@BTCforce]

20%? That’s outrageous for pristine unencumbered collateral. Should b LIBOR+1% tops. I can borrow cheaper at a bank with a signature and a promise with zero collateral

[@Silarous]

I'd imagine anyone offering loans on this platform are bitcoin hodlers themselves. They are taking the risk holding the USDT to loan it to others. They'd have to ask for an interest rate high enough that they believe will outperform Bitcoin price appreciation over the course of the loan. Otherwise, the lender would have been better off holding Bitcoin rather than making the loan. I suspect interest rates on these types of loans will come down a lot when bitcoin is more widely used and its price appreciation is much less aggressive. If the price appreciation is a steady 5% per year on average, making a loan for 6% wouldn't be such a bad deal.

[@logann001]

5% per year is a long way off considering on average price goes up over 100% a year​@@Silarous

[@BTCforce]

@@SilarousIf they r holders then just use ur cash to buy more BTC and not offer ridiculous priced loans. N Texas a loan over 18% is illegal and classified as usury. Some platform/bank will figure out that BTC is pristine collateral and charge way less bc they r n the biz of loaning money

[@SixGorillion]

It is cool that they are at least doing simple interest, but yeah the rates suck, and it also sucks that it is not a revolving line of credit for a longer term. I regularly use real estate backed HELOCs that are way more efficient than this, and way more convenient from a cash flow perspective. I can currently get simple interest credit lines at well bellow the WSJ prime rate. I really hope the BTC loan space gets better soon.

[@Silarous]

@logann001 I agree. I didn't state a time frame. It's just a clear opportunity cost that a lender must consider right now.

[@MRNC]

the loans are so short term it will be hard to use these need something amortized like a house, 30 years so payment is low then can refinance it in 2-3 years. APR way high to Soveryn is cheaper, so BTC lending is not there yet as far as user friendly.

[@EmtotheV]

Sorry if i missed in the video, but are payments made monthly or do you just pay full loan back with interest at the end of loan term?

[@SF_HODL]

AND HERE WE GO….

[@mrbmro3991]

How did the APR jump from what you initially showed of around 1% on the screen before, to like 21%? You kind of glossed over that bit bro

[@QDogg]

He changed the time to repay the loan

[@DJ-6972]

Those were all really low dollar amounts and loan timeframe with very high interest. I’m only interested when you can borrow several BTC with several year repayment that allows you to borrow at the peak of a bull run, use the loan a year later and pay back the following run. What you would do with a DCA out and back in strategy. This doesn’t look like the platform for that. This is for someone short on rent?

[@juliankercsik5641]

Thank you excellent video well done you. Quick question: does DEBIFI also provides a lender option where I could offer my BTC to lend someone else. If you could do a video on that that would be greatly appreciated. I love you work. Cheers

[@bitcoinnotcrypto]

Would this work for buying a lambo on loan?

[@moping5275]

Nope , cargo bikes only. ;)

[@GlenThanhLam]

I'm buying the Revux RVX token, I believe it will yield at least 100x this cycle.

[@MyTube4Utoo]

Very interesting. I'd consider making small(er) loans until I got comfortable using the platform. Thanks for the tutorial.

[@Bruno-di8vr]

Hello, great vid as always! Thx. I have 2 questions about the colateral 1. On minute 22:45 there is a colateral of 0,06887952 BTC. In the end (33:45) it turns to 0,06660436 BTC, a 3,3% difference! Is that the multisig 2-3 fee? 2. Since it is a bit high, is this expensive also because of testnet fee mess? Bonus question, does the lender pay a 1,5% too to Debifi?

[@ashdraked]

These lending platforms usually have high APR, even then the more lending platforms and the higher liquidity bitcoin has the easier it will be to launch a speculative attack

[@adjbutler]

What do you think of Sovryn and their Bitcoin-backed zero interest rate loans?

[@psykatic]

I posted 300% collateral and still had my Bitcoin 'redeemed.' Meaning they steal your Bitcoin. It's a scam

[@trujiillodivecenter5913]

@@psykatic really? whicj one the one on sovryn or on btc? what happen ? or was it a big dump?

[@psykatic]

On sovryn. You put collateral up for a loan. The greater your collateral the safer your loan is from getting redeemed; but apparently 300% wasn't enough. You'd have to Google what redemption is because it's too long to explain here

[@HoanUyenTam]

The key move is to get in early, with Revux you can do that

[@ohara3762]

Lazy semi newbie question. Companies like Unchained Capitol and Ledn offer this service too and seems easier and more user friendly. Is using companies like this and and hodl hodl more of a KYC thing? Do you think custody is superior etc?

[@imisskatelyn9517]

Unchained doesn't offer loans to retail customers unfortunately.

[@imisskatelyn9517]

also, I believe Ledn rehypothecates so you absolutely want to stay away from that. a multi sig loan on debifi assures you they are not lending out your Bitcoin.

[@ohara3762]

@@imisskatelyn9517 Thank you very much!

[@QDogg]

Also, this service can be used globally with no KYC, so less up front barriers.

[@w-h-y-]

Oh yeah we’ve all heard that before. No hypothecating. Ok bro sure. Anyone here considering the risk of giving your btc to anyone I lost quite a bit to one of the larger companies last cycle. Just keep stacking. It’s not worth it

[@BTCSessions]

I understand the skepticism given the opaque nature of things like blockfi. In this instance you hold a key that is part of a multisig between you, the lender and debifi as a dispute resolution mechanism. You can verify the UTXO you deposit on chain at all times during the entirety of the loan.

[@nymzoindian7250]

@@BTCSessions wait, the dispute guys are BLOCKFI???!!! OMFG LMFAO

[@BTCSessions]

@@nymzoindian7250 auto correct did not post correctly. No they are not. I am using blockfi as an example of a shitty model because you cannot independently audit anything they did, and you didn't hold any keys. This is the opposite of that.

[@nymzoindian7250]

@@BTCSessions Thanks Ben. TOS says "Authorized key holder - a respectful AnchorWatch Inc", not sure who those guys are or their affiliation w/ debifi, but at least they're not named blockfi lol

[@BTCSessions]

@@nymzoindian7250 Anchorwatch is doing a lot of interesting stuff with multisig and miniscript. Definitely look at Rob Hamilton and Becka Amilee on some podcasts (doesn't necessarily relate to debifi but just multisig in general)

[@lykan9snake76]

how to use the testnet version?

[@davef5916]

In canada, is there any info on the taxable events triggered during this whole process?

[@jordonstudio]

So should my takeaways be the interest rates suck, collateral is too high making it impossible to utilize this as a cash out method at top of the bull market for a tax free withdrawal?

[@Nico-jb5ej]

Dude, how do you know the top of a bull market? I wish I had this knowledge

[@Emorine]

So the only benefit of the person lending the usd loan is to earn the interest?

[@jcqsrbd9843]

Is there a fee for transfer back of the collateral?

[@VEGANWARRIOR]

7:15 in...what about the appreciation of the Bitcoin?

[@KulturKampf777]

Excellent stream, Glory to God ☦

[@ReesRetuta]

after 1 year, what if you want to take another loan to pay back the first loan plus a few more, so that you can get yearly life-long free cash flow without the BTC withdraw tax event?

[@Neeper78]

I think volatility makes this hard. Maybe one day when BTC is more widely adoption and not so volatile.

[@K0T3J1]

What happens when USDT loses it's peg?

[@murphylch]

Is there a way to use it for a loan in local currency instead of USDT? For Eg, EUR or CAD?

[@nymzoindian7250]

I think you're able to convert usdt to local currency on your favorite exchange.

[@tommydOU]

If u default, would you have to pay taxes since the bitcoin was technically sold?

[@BTCforce]

Likely yes

[@VietNhuViolet]

Congrats to all early adopters, Revux will crush this year

[@VEGANWARRIOR]

APR 21%? LMAO LOLOLOLOLOLOL. Hell naw. Bitcoiners don't steal. This one needs to be sent back to the drawing board. I'll wait for the company that gets it right. Jesus Christmas smfh.

[@Neeper78]

lol. Yeah wtf. BTC is the most pristine collateral on earth.

[@markwalker8374]

Plus 1.5% origination fee

[@loveispeace]

testnet contract with testnet money and a beautiful number 21 🤭

[@ubiquityxx]

This is retarded. 21% AND origination? Too complicated setup and what about loss on usdt?

[@jpmichael]

no iOs app?

[@desaulniersmartin]

Great video mon ami !

[@nathanpen]

Great video. Now do Thorchain

[@dsflat6785]

Q: Where might investors see better gains in the future for their retirement, holding one BTC at $67,000 or 142 BCH at $470 ? They share the same Genesis block, the same 21M max supply, the same miners and the same halvings. Bitcoin Cash is up about 300% in one year which is around twice as much as BTC and the BCH chart looks like Bitcoin in 2016 🤔

[@Neeper78]

Compare the BTC/BCH chart over a long time period.

[@nymzoindian7250]

get the gold. the gold has most proof of work. all forks and alts are dead chains. prices can be manipulated short term but not for long. owning some gold > owning lots of shit

[@MaiDongHa]

Ride the bull run with Revux, sale ends soon

[@joseromero9933]

Thanks for sharing

[@fighterpilot12]

If the price of BTC drops enough, will they liquidate you?

[@MyTube4Utoo]

Yes, he said so in the video.

[@fighterpilot12]

@@MyTube4Utoo Ah too bad, so what's "rehypothecation" then?

[@teemupleb]

@@fighterpilot12The loaned funds are in the multisig throughout the contract so they are not being put to work without your knowing.

[@QDogg]

​@@fighterpilot12rehypothecation is when the company takes your Bitcoin and loans it to someone else so that they can make more money. You can be left with nothing sometimes with rehypothecation. This is NOT the case here with Debifi as the Bitcoin collateral is stored multisig onchain for all parties to see.

[@nancyrinker6417]

What’s the best strategy to enter crypto investing now for someone with more or less than $4k?

[@siljavatunen3469]

Investing can be tough, so it’s beneficial to get guidance from a skilled trader who can also handle your investments and help you achieve consistent results.

[@danieltarran8370]

Do you happen to know any trader who’s really skilled?

[@siljavatunen3469]

I highly recommend Stephany Reuben; she’s got a great track record.

[@astasiamyers6963]

Hey, I’m surprised you know her!! I'm also a proud beneficiary of her platform. I’ve been able to clear all my bills, thanks to Stephany.

[@tarupollanen4008]

It’s amazing to see Stephany Reuben being mentioned under this comment. She stands out from other brokers because of her realistic approach, unlike those who often set unattainable targets and fail to deliver. She’s truly unique!

[@djreducer]

Sovryn/Zero?

[@psykatic]

Posted 300% collateral on sovryn and still had Bitcoin 'redeemed.' it's a scam to rob your Bitcoin

[@ugnijs]

Start with rates. If they are high (which they are, ridiculously so) - debifi is dead already.

[@JimmieJohn]

Ben there; done that!

[@unruly7]

Maneki 🚀🚀🚀🚀

[@organic723]

Ice ice baby

[@darryl5826]

How much can you borrow against an asset that falls 80% every 4 years? Can your loan be closed because asset went under loan worth?

[@QDogg]

Looks like you can only do up to 1 year with a max LTV of 50%. You would get margin called if it dropped more than 50% of the value of the collateral.

[@PhanHaiLy]

Revux RVX is a top gem, DYOR!!!!!

[@askme3732]

Nah

[@miket.8289]

Ben's done a video on this and cloud mining recently. Questionable, but I hope it's safe and actually works

[@MexicaHODL]

This shit is dumb. 20% interest on Bitcoin loans.