Once you pay those bills with your paycheck, you never have access to that money again. A line of credit is a cash flow tool. This tool won't work if you spend more than you earn. You will end up upside down and probably lose your bitcoin. If you live within your means, this tool is potentially very powerful and allows you to accumulate wealth faster while not being strapped for liquidity. Obviously the safest and most conservative way would be to get paid, pay your bills, buy bitcoin with what's left, and self-custody said bitcoin. However then you are potentially living paycheck to paycheck and not maximizing your DCA . I would strongly advise against a line of credit if you spend more than make.

Sounds like you’re suggesting to take the payroll you’d use for paying bills and use it to buy BTC, then use the LOC to pay your bills… then at some point how would you pay off the line of credit + interest?

It will be an interesting tool to see how Jack structures it. Percentage of interest, amortization schedule and such. A line of credit isn't like a loan. You only pay interest on what you use and it's not compound interest. That's why it's essential to know your monthly spend and income. If used properly you could have a nice opportunity to pay your bills,and stack sats. While not having to wait for the next paycheck to have access to liquidity. Every paycheck has to go back into the line of credit to keep your interest paid low. People use HELOCs like this all the time. Look up Velocity Banking online or YouTube. Businesses do the same, they pull equity out of there business and use the line of credit to maximize cash flow.

Appreciate the info. I just don’t think it makes sense for the person with regular W-2 income, even if they are living within their means… unless they have an unexpected life circumstance requiring them to take out debt. I can see it being useful for businesses with uncollected Accounts Receivable or individuals with irregular paychecks needing cash flow, taking the debt out against future earnings.

Absolutely. I don't run my personal finances this way with a line of credit. Sounds like you're doing things the right way too. Live within your means and save what's left over. Unfortunately that way of living gets eroded over time by inflation. Thank God or Satoshi that we have bitcoin to protect against the money printer.