Post
Topic
Board Exchanges
Re: [OFFICIAL]Bitfinex.com first Bitcoin P2P lending platform for leverage trading
by
TheQuin
on 06/11/2017, 16:49:14 UTC
An idea has just struck me

It makes sense to lend your bitcoins (so that you get B2X tokens) and at the same time short the same amount of bitcoins. By lending and borrowing, you will 1) receive some percentage spread (since you can lend at higher rates and borrow at lower, it is pretty easy to do) and 2) protect yourself from any price crash if that should happen due to the hard fork while still receiving the B2X tokens, which you can sell at any time you deem right. Anyone want to comment on this?

An interesting idea. The thing that concerns me is there is no correlation between the amount you can make on the lend/borrow spread and the price of Bitcoin. So yes you will be protected from any fall in BTC value due to any problems during the fork but if the price screams higher you will suffer big losses.