1-10 Today I’ll show you how we can pay for Rent and Living Expenses with our Bitcoin without selling them.
as its native currency as it is merged mined by the BTC miners
All we need to get started is some Bitcoin and an @RSKsmart
work as well.
We exchange our BTC
for RBTC using the FastBTC bridge from @SovrynBTC
The RBTC is always backed 1 to 1 with BTC and can be traded back and forth
This maintains their value, and once in the @RSKsmart
Now we Deposit our RBTC in ZERO and open a Line of Credit.
This incur a 0.05% fee and 20 deposit which we’ll get back once the LoC is closed
We can then set our collateral ratio, it is recommended 200% to 250% to be safe. And we get our ZUSD stable coin in exchange
5-10 If the price of Bitcoin
(our collateral) drops to be worth 110% less than the ZUSD (our liability) we borrowed, we would then lose our BTC , but we keep the ZUSD.
we can always add more collateral if need be, is a good idea to always keep an eye on the collateral ratio
6-10 The ZUSD can only be used for three things:
1-Repay the loan and get our BTC back 2-Add to the stability pool, help secure the protocol and profit from other users “bad loans” 3-Exchange for XUSD an aggregated StableCoin
which can be then traded for any other asset
And use the FastBTC bridge to convert back into BTC
8-10 The last move is to go from Bitcoin to fiat, I recommend using non KYC platforms such as:
Then use fiat for whatever you need it
Why jump through all this hoops? Well, all the BTC we deposited we'll get back by repaying our loan. Even if the value of it +100x, we only need to pay back our initial USD loan.
We can use the value of our coins today, and keep their long term appreciation for tomorrow!
10-10 While a bit tricky and cumbersome, ZERO is a fundamental platform for Bitcoiners to be fully self sovereign. One which will only become better and easier to use in the future.
Get on the early access… GetOnZERO!this twitter thread.