Just took out another loan ($20K) to buy Bitcoin... Also, update on the previous loan ($15K) from February.

You may remember me from a post back in mid February where I took out a $15k loan to buy Bitcoin. You can read about it here: https://www.reddit.com/r/CryptoCurrency/comments/tdkaui/taking_out_a_loan_to_buy_crypto_when_the_market/

Well, with prices this low, I'm back at it again.

I just got approved for a $20k loan with a 4.5% APR which I will be using to buy more Bitcoin at these discounted prices.

Why now?

The thing is, J. Pow keeps raising rates. The higher he raises rates, the more expensive it is to borrow money. So I'm doing this now to lock in a lower interest rate. This time around, I plan to DCA it into BTC much slower. If the macro situation is really as bad as they say, then BTC may still go lower.

The crazy thing is that I managed to get a lower interest rate this time! Back in February loan I paid 6%, but with the new $20k loan I'm only paying $4.5%! I have no idea why that is. The only thing that changed is that my credit score increased about 50 points, but I don't think that really explains it.

With the $15k loan I started DCAing it into BTC daily around February 23rd, 2022, a day or two before Russia invaded Ukraine. Within 8 weeks I had invest the full $15k at a cost basis of ~$38k.

I basically view this as a reverse DCA. Together, the combined loans require about $550 a month to service. This is fine. I can afford this. I usually invest about $500-700 a month anyway, so it's still affordable for me.

Anyway, I will update in 6 months.

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tl;dr use loans to buy assets, not liabilities.