I've written extensively about my strategy for collateralizing Bitcoin into vaults and taking out DeFi loans against the collateral.
You can find my blog posts all throughout Hive and INLEO talking about this.
In short, you're DCA buying Bitcoin all throughout the bear market. You're taking that Bitcoin and placing it into a vault on a protocol like MakerDAO.
Then, you're taking out DAI loans against that Bitcoin. You can use DAI (or whatever stablecoin you are loaned) to pay for expenses IRL, etc.
You do this instead of spending actual $ on things. For example, let's say your rent is $1,000 per month.
Instead of just paying $1,000 per month, you could buy $1,500 worth of Bitcoin, collateralize it and borrow $1,000 to pay your rent each month.
This accumulates debt but also accumulates Bitcoin.
In a bull market, Bitcoin goes up, you pay down the debt and keep the leftover profits. It's far more money than you would have gotten if you just paid for things straight up.
Now, there are tons of other variables at play here. You have to stay safe and not get liquidated, you also have to earn above your living costs.
About INLEO
INLEO's mission is to build a sustainable creator economy that is centered around digital ownership, tokenization and communities. Our flagship application: inleo.io allows users and creators to engage & share micro and long-form content on the Hive blockchain while earning cryptocurrency rewards.
App: https://inleo.io
Twitter: https://twitter.com/inleoio
Discord: https://discord.gg/c7YSmymBqs
Our Hive Applications
Join Web3: https://inleo.io
Microblog on Hive: https://inleo.io/threads
Build a Microblogging Community on Hive: https://inleo.io/communities
Delegate HIVE POWER: Earn 16% APY, Paid Daily. Currently @ 3.5M HP
Hivestats: https://hivestats.io
LeoDex: https://leodex.io
LeoFi: https://leofi.io
BSC HBD (bHBD): https://wleo.io/hbd-bsc/
BSC HIVE (bHIVE): https://wleo.io/hive-bsc/
Earn 75%+ APY on HIVE/HBD: https://cubdefi.com/farms
Web3 & DeFi
Web3 is about more than social media. It encompasses a personal revolution in financial awareness and data ownership. We've merged the two with our Social Apps and our DeFi Apps:
CubFinance (BSC): https://cubdefi.com
PolyCUB (Polygon): https://polycub.com
Multi-Token Bridge (Bridge HIVE, HBD, LEO): https://wleo.io
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