5 sats \ 3 replies \ @denlillaapan 13h \ on: Ask SN: Fiat debt and bitcoin stacks AskSN
Depends on risk tolerance and who/what obligations you have. Plus your income and predictability etc. Mortgages are usually very cheap, safe, and tax efficient debt; paying it off in advance by selling as awesome an asset as BTC -- probably not great. (The return is limited to the equivalent of the interest saved)
If you have dependencies or unpredictable jobs or seasonal income etc, and switching out some asset for more home equity would make you sit safer and better financially, then yeah maybe give up some gains for it
Hard to give generic advice, I think
It’s hard . As being with out fiat debt would make life a lot more relaxing and open up options but I guess if I can chip away at it and keep the btc growing that would be more ideal.
As if I sell down some to pay debt I’ll get hit with capital gains tax as well that will reduce the amount
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Also that.
Fiat incentivizes you to keep rolling debts for as long as possible. Taking some off to secure life is understandable -- and correct, in a natural order -- but harmful/wrong in fiat
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Another question if we went on a Bitcoin std and dollarydoos went away would the banks just say you owe 700k that’s now 7 btc for that loan . Is that how it would go and then everyone would have to rethink home ownership or the value of said realestate would go down as the btc value goes up the house cost will go back down to a cost to replace only value?
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