Quote from: Sukrim on July 08, 2014, 01:46:31 AM

Quote from: wachtwoord on July 08, 2014, 01:15:00 AM

Quote from: Sukrim on July 08, 2014, 12:28:01 AM

Quote from: wachtwoord on July 08, 2014, 12:14:07 AM

Anyway, how on Earth are these leveraged longs holding on for these periods of time while paying these sky-high interest rates? Especially considering interest rates for USD are at record lows in the real world ... It just makes zero chance. I would not be surprised if something shady is going on.

Just look at the charts - as long as there are swings like this, 0.2%/day interest is pocket change. Also consider that other exchanges charge more for a single trade (often from both sides), not just per day. If you trade one single time less you already have saved the swap fees...

But you can borrow USD way cheaper ...

With a lot more effort maybe, also you either will NOT be able to borrow a few 100k USD with BTC as collateral or you might at least have to answer some quite nasty questions. Also USD are not transferred as fast as BTC - depending on your lender it would take several days until you actually have the USD you borrowed on an exchange to trade with.

And that makes up this incredible difference? Well apparently the market thinks so. If the market as reflected by Bitfinex actually is a real and free market that is ...