I have an opportunity to put cash to work and make a great return in a relatively quick period of time.
I believe I will be able to buy S.DICE back cheaper and save myself some money on the loan.
How do you plan to cover the dividend payments each month? What the rate you're paying people?
You're going to get MURDERED, especially on the dividends, in my opinion.
The dividends really aren't an issue. If he gets murdered anywhere it'll be on the exchange-rate if BTC keeps rising vs USD (he's borrowing the money for USD-denominated purpose). A 2% dividend/month pales into insignifance if BTC were to rise by 50% between now and May (which is LESS than it's risen in the last two months).
Just hope his "great return" is large enough to justify that risk (some of other stuff he's borrowed and sold is 100% fixed-price in BTC so will in no way fall due to exchange-rate moves).