Hey everyone,
I have been talking with a well known custodian and a few potential lenders regarding loans for Casascius coins. I am personally interested since a loan does not trigger a taxable event and it is also a way to access liquidity without having to peel or sell coins (especially with premiums as low as they are).
The lenders are interested but one of their main questions is how large the potential market is for this before they invest time and money into it. If you are potentially interested in getting a Casascius coin loan, DM me or comment here and if comfortable give a ballpark estimate of the BTC value you would be interested in getting a loan on. Obviously this is not binding in any way and I will leave it to them to legitimize the process and ensure the safety of all our coins, but this market research would be quite helpful. Thanks
I have been talking with a well known custodian and a few potential lenders regarding loans for Casascius coins. I am personally interested since a loan does not trigger a taxable event and it is also a way to access liquidity without having to peel or sell coins (especially with premiums as low as they are).
The lenders are interested but one of their main questions is how large the potential market is for this before they invest time and money into it. If you are potentially interested in getting a Casascius coin loan, DM me or comment here and if comfortable give a ballpark estimate of the BTC value you would be interested in getting a loan on. Obviously this is not binding in any way and I will leave it to them to legitimize the process and ensure the safety of all our coins, but this market research would be quite helpful. Thanks
Walk me through this. If someone gets a loan, they are going to have to pay interest on that. How do they pay that back if they never want to access their coins?
Exactly like any other collateralized loan, the lender holds your collateral and then sends you USD/BTC/USDC and gives you a repayment schedule (principal + interest). You make payments every month and when the loan is paid off you get your collateral back. If you stop making payments for longer than a set period of time, the lender can sell your collateral to recoup the cost of the loan. Let me know if that wasn't clear enough