Post
Topic
Board Bitcoin Discussion
Re: Bitcoin Killer App: High Yield Investments
by
triox
on 24/07/2012, 07:12:43 UTC
Quote
--it would indicate that Bitcoins were so likely to crash that lenders insist upon ridiculous rates and borrowers willingly pay them.


Alternatively, lenders are expecting Bitcoin to skyrocket and borrowers are competing against that expectation. Now, why would that expectation be reflected in the interest rate and not the BTC/USD ratio I don't know.