RE: What if I gave you $1,000... 💰 LifeStart
Cool... I actually did some sort of an experiment like this around December 2019
Used 1k worth of BTC and put it into Nexo and then used that to take a $500 USDT LOAN using the BTC as my collateral about 0.13 was the total so $500 was around 0.065 btc
With the loan I bought about 3.85 eth making my total assets to 0.13 btc (around 1k usd locked in Nexo as collateral) plus 3.85 eth worth around $500
With the 3.85 eth.. I held it and did a bit of safe trades any managed to get it to about 4 ETH.
Today's total...
0.13 btc - $1332 locked in nexo
4 eth - $1133
Total Assets : $2465.. And if I pay back the loan of $500 from Nexo total asset would be $1965 .. Minus a less then 5 usd in interest as nexo charges a 5% Apr with min 1mth loan.
That's the my method which I'm sharing with you and it seem to work pretty nicely.
Now will it work in a bearish market ?? Well.. I started hedging my coins since btc was around 6k and its how long you can hold. At 5% Apr on loans without needing to follow a payment schedule and just need to pay the accrued interest, it seems to work very well.
This is just my own way of doing it and I just wanted to share it with you. Cheers buddy.