Quote from: nasterxy on October 28, 2014, 05:26:15 AM

Quote from: dropt on October 28, 2014, 05:05:46 AM

How do you envision this working? I borrow 100BTC from a lender at $300/BTC, price goes up to $1,000,000/BTC, I still owe the lender 100BTC.

no idea but some bitfinex users are doing this, take btc swaps but not using them

They're borrowing the BTC but not selling (shorting) it. It jacks up the daily interest rate making any new/further shorts costly to open, and/or it also removes a lot of lending offers from the pool, thus reducing the number of coins shorted on margin. There are also a number of other reasons/things the borrower could be doing.

Quote from: nasterxy on October 28, 2014, 05:51:51 AM

can it? the bubble has long gone

Which bubble? 2011, 2012, 2013 #1, or 2013 #2? And to address your other question, anything's possible.