Meanwhile, while I wait for BTC price to become cheaper, I CANNOT believe I am earning 438% interest on 76k on Bitfinex.
At these rates, I will have to be wiring some additional money there soon. I mean, for 100k I can clear over $1000 in interest. Each day. I will double my money in 3 months, basically risk free. That's insane. A million would net $300k a month at this rate. Surely these are the highest interests rates in the world.
So you are using insured loans?
Nope, but fortunately there is some historical data to base the risk on. Bitfinex opened during April a few days before the market crashed 80%. When it crashed, loans lost 9% of their principal on an 80% market crash due to orders not being able to be met. So in my risk assesment, I figure with an 80% market drop, I risk 10-15% of my prinicipal or about 2 weeks of interest. That is a risk I can live with.