Elon Musk wants clean power. But Tesla's carrying Bitcoin's dirty baggage

Re:Elon Musk wants clean power. But Tesla's carrying Bitcoin... by rawtxapp on Wednesday February 10, 2021 @11:43AM (#26091473)

I'm one of these holders who hold to avoid cash depreciation, I don't plan on ever selling a single satoshi. Now you might ask, what's the point then, are you not gonna spend it at all? With many new defi projects, I can unlock my Bitcoin's value and use it without ever selling it.

Many holders have similar ideological beliefs, Michael Saylor also said he doesn't plan on selling any and that he would just borrow against it if he needed the cash.

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Re:Elon Musk wants clean power. But Tesla's carrying Bitcoin... by danpalmer on Thursday February 11, 2021 @06:18AM (#26100337)

This is similar to what bankrupted the Enron execs. When told to diversify their holdings from Enron stock, instead of selling the stock and buying other stocks/etc, they borrowed against their Enron stock and used that to invest.

When the stock came down it snowballed, they hit limits where they had to settle-up their loans, but to do that they had to sell large amounts of Enron stock that then dropped the price further.

This is a dangerous game.

[ Parent | on HN ]