Bitcoin holders are leveraging crypto-backed loans to buy real estate without selling their BTC. This trend avoids capital gains taxes and primarily appeals to high-net-worth individuals who struggle to meet traditional financing requirements.
Loans generally fund within 9.6 hours, allowing rapid real estate transactions. Borrowers benefit from flexible repayment terms, with no mandatory monthly payments and the option to repay without penalties.
While Bitcoin-backed loans offer several advantages, the inherent volatility of BTC requires borrowers to monitor their collateral closely, as falling prices may necessitate additional collateral to avoid liquidations.
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