Thread by Tahinis Restaurants
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- Jun 28, 2022
- #Bitcoin
Thread
1/ I lost the opportunity to own extra #Bitcoin because I played with leverage.
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Time for a thread 👇🏽👇🏽👇🏽
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Time for a thread 👇🏽👇🏽👇🏽
2/ during the bull market I decided that I wanted to buy more #bitcoin and a car. I didn’t want to sell any of my Sats. So I decided to borrow dollars against my bitcoin.
3/ I did so with very little risk (or so I thought) by putting a huge amount in collateral. My collateral was able to withstand a drop in price to $4000 and I had more collateral to add if needed.
4/ The price of #bitcoin dropped (no problem, I accounted for that). Then I saw a few companies freeze withdrawals because they had made some pretty bad UNDER COLLATERALIZED bets with customers funds
5/ It occurred to me that this could happen with the financial institution that I was banking with. The idea of that happening to my funds turned my gut upside down
6/ My worry was not about the drop in #bitcoin price but rather that my financial institution goes belly up. There are no bailouts in #bitcoin
7/ so I decided to pay off my loans and move my #bitcoin back to cold storage. But in order to do that I had to sell some Sats at the price of $20k
8/ but that’s not the worst part. I was saving a decent amount of cash for 4 months. Instead of using that cash to buy bitcoin at 20k I used it to pay off the rest of my loan 😣
9/ The good news is that I was able to pay off my loans and get all my #Bitcoin back to cold storage. The company hasn’t gone belly up yet. But I can sleep better at night.
10/ In the process I learned a valuable lesson. Don’t play with open ended leverage.
When I got into this space I learned from bitcoiners that came before me to not get into altcoins (shitcoins).
When I got into this space I learned from bitcoiners that came before me to not get into altcoins (shitcoins).
11/ This was a mistake on my part and I had to learn the lesson myself. This was done with my personal funds and not the company funds. We have no leverage with Tahinis Corporation balance sheet
12/ I’m sharing this so that future participants in this space can learn from my mistake. Leverage is a lure that should be assessed very carefully. My mistake was that I got too greedy. I ended up with less bitcoin. Don’t fall for this trap, no matter how attractive it seems 
13/ I sure hope that this company survives this and people don’t get their most powerful asset taken away from them. I’ve heard they have hundreds of thousands of customers. I’m happy to take a small loss if it means I can sleep better at night.
14/ My conviction in #Bitcoin is stronger than ever especially now that I’m debt free with my coins in ice cold storage. Back to staying humble and stacking Sats LFG🔥
Some people were very helpful in ringing the alarm bells on this issue. Give them all a follow 👇🏽
Some people were very helpful in ringing the alarm bells on this issue. Give them all a follow 👇🏽
15/ @coryklippsten @PrestonPysh @edstromandrew @otteroooo @DylanLeClair_ @CaitlinLong_ @ODELL your guidance saved my ass. Thank you. Lesson learned
16/ Finally to echo all the bitcoiners who were dead right for so long.
NOT YOUR KEYS 🔑
NOT YOUR #BITCOIN
Remove coins from all exchanges/banks
NOT YOUR KEYS 🔑
NOT YOUR #BITCOIN
Remove coins from all exchanges/banks
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Jeff Booth @JeffBooth
·
Jun 28, 2022
Great share!