THIS TIME IS NO DIFFERENT
It's not that bitcoin-backed loans are a scam, but rather that all bank loans are. Here's how the scam works:
When you go to the bank, you have to put up something as collateral: your time/labor, your house, your bitcoin, etc. Something valuable that takes work, time, and effort to obtain. In exchange, you receive a false “loan,” a bank liability, an IOU, "bank credit" a worthless token that functions as a claim on your wealth.
Banks control all of these tokens (they mint them) and they can create them unlimitedly, forming credit bubbles. This is planting season of the banks: making all the ignorant collateralize wealth and borrow to invest and gamble. They use the media to induce enthusiasm and boost the cycle.
When they deem it necessary, they pull the “sucking” lever and reverse the cycle, forcing liquidations and criminally taking the wealth of depositors. This is the banks' harvest. This has been the case for centuries, the most recent examples being 2022, 2020, 2008, and 2001.
This time is no different. Most of those who send their bitcoin to a third party to borrow fiat tokens that can be created unlimitedly and manipulated artificially will not see their bitcoin return to their own wallets. Those UTXOs will be gone from their power forever.
Don't be fooled, THIS TIME IS NO DIFFERENT. The power of bitcoin is that it operates parallel to the system, not merging with it. Don't believe false prophets like Saylor or Mallers who say “never sell your bitcoin.” This is a trap to get you to hand it over to the banks so they can confiscate it in an operation that appears “legal.” There is nothing legal about this system; it is completely criminal and fraudulent.
THIS IS THE REASON WHY BITCOIN EXISTS!!!
DON'T FORGET WHERE WE CAME FROM!!!
THE FIRST STEP TO KILL A PARASITE IS TO STOP FEEDING IT!!!
