Page 1 of 2 12 LastLast
Results 1 to 30 of 31

Thread: Invest BTC in Crowdfunded Peer-to-Peer Loans and Get 19% APR with BTCJam.com

  1. #1

    Invest BTC in Crowdfunded Peer-to-Peer Loans and Get 19% APR with BTCJam.com

    If the legacy banking system is going to continue with crappy savings and CD rates, then ditch them. Citi is now even talking about negative interest rates. Screw off, banks.

    Is anyone using BTCjam? How do you like it? I think I wanna dip my toe in. Direct P2P options will be the future for earning a better return, IMO. They've been infused with a lot of venture capital lately. The libertarian early adopters like Roger Ver are involved.

    https://btcjam.com/



    Yay for free markets.



  2. Remove this section of ads by registering.
  3. #2
    That is really cool I hope it is a great success for all involved.

  4. #3
    Nice.
    Today I decided to get banned and spam activism on this forum...

    SUPPORT RANDPAULDIGITAL GRASSROOTS PROJECTS TODAY!

    http://i.imgur.com/SORJlQ5.png

    For more info. or to help spread the word, go to the promotion thread here.



    Quote Originally Posted by orenbus View Post
    If I had to answer this question truthfully I'd probably piss a lot of people off lol, Barrex would be a better person to ask he doesn't seem to care lol.


  5. #4
    Are the loans denominated in dollars or bitcoin?
    "He's talkin' to his gut like it's a person!!" -me
    "dumpster diving isn't professional." - angelatc
    "You don't need a medical degree to spot obvious bullshit, that's actually a separate skill." -Scott Adams
    "When you are divided, and angry, and controlled, you target those 'different' from you, not those responsible [controllers]" -Q

    "Each of us must choose which course of action we should take: education, conventional political action, or even peaceful civil disobedience to bring about necessary changes. But let it not be said that we did nothing." - Ron Paul

    "Paul said "the wave of the future" is a coalition of anti-authoritarian progressive Democrats and libertarian Republicans in Congress opposed to domestic surveillance, opposed to starting new wars and in favor of ending the so-called War on Drugs."

  6. #5
    I'm interested but really don't quite get how this works... What is to stop some guy from just borrowing a bunch of coins and then defaulting?
    Last edited by ChristianAnarchist; 04-19-2015 at 08:07 AM.
    BEWARE THE CULT OF "GOVERNMENT"

    Christian Anarchy - Our Only Hope For Liberty In Our Lifetime!
    Sonmi 451: Truth is singular. Its "versions" are mistruths.

    https://en.wikipedia.org/wiki/User:ChristianAnarchist

    Use an internet archive site like
    THIS ONE
    to archive the article and create the link to the article content instead.

  7. #6
    Quote Originally Posted by ChristianAnarchist View Post
    I'm interested but really don't quite get how this works... What is to stop some guy from just borrowing a bunch of coins and then defaulting?
    Quote Originally Posted by BTCJam
    Is BTCJam responsible for the loan repayment?

    Last Updated: Oct 09, 2014 05:42PM PDT

    No. This is a peer-to-peer bitcoin lending platform, the borrower is responsible for all repayments. When a borrower is late, BTCJam tries to contact them through multiple channels. If the borrower defaults, the loan is sent to our arbitration partner net-ARB.com.


    4. International Arbitration


    • Any controversy or claim arising out of or relating to this contract, or the breach of this contract, shall be settled by binding internet arbitration at net-arb.com. The arbitrator's decision shall be final and legally binding and judgment may be entered thereon.

    What does the arbitration process entail?

    Last Updated: Oct 09, 2014 05:44PM PDT

    Our arbitration partner, net-ARB, will review the loan terms, certify default and issue an Award in favor of the investor(s) for the full amount still owed. The Arbitration Award is binding and cannot be appealed. This Award may be used to procure a judgment against the borrower in a court of law. (Net-ARB will provide the investor(s) with all other information necessary to pursue a judgment).



    This is really cool. I was looking how much people invest and it is 99% of the time like this ฿0.00072251. You have 5 bucks you invest, you saved 5 dollars today because you didnt bought newspaper-you invest...

    Really excited because of this blockchain technology. Banks of the future will be much different than they are today. This means that investment companies, funds, brokers etc. will have to adapt too.


    This is my referral url:

    https://btcjam.com/?r=48dc068f-a0ab-4cb6-b0f0-7c0475d5c6f0&utm_source=referral_url&utm_campaign= user_referral


    If you plan to sign in you can do it through it. It is free.
    Last edited by Barrex; 04-19-2015 at 11:20 AM.
    Today I decided to get banned and spam activism on this forum...

    SUPPORT RANDPAULDIGITAL GRASSROOTS PROJECTS TODAY!

    http://i.imgur.com/SORJlQ5.png

    For more info. or to help spread the word, go to the promotion thread here.



    Quote Originally Posted by orenbus View Post
    If I had to answer this question truthfully I'd probably piss a lot of people off lol, Barrex would be a better person to ask he doesn't seem to care lol.


  8. #7
    Raul went to the bank to borrow money but was faced with expensive interest rates so he went to BTCJam and only paid 19%APR. That sounds very reasonable

  9. #8
    Quote Originally Posted by Schifference View Post
    Raul went to the bank to borrow money but was faced with expensive interest rates so he went to BTCJam and only paid 19%APR. That sounds very reasonable
    Maybe I am missing something here but 19% APR is not that impressive. None of my credit cards charges that much for interest. I get it now, you are being sarcastic.



  10. Remove this section of ads by registering.
  11. #9
    How is this a good deal for the borrower? Does that commercial make any sense?

  12. #10
    Quote Originally Posted by Schifference View Post
    How is this a good deal for the borrower? Does that commercial make any sense?
    Its quite a low bar but its better than payday loans. Also, where did he get the 19% APR? the video didn't give specific about interest rates just that it would keep going down with increase in global credit score.

    The links clarifies it, which is worse than I imagine. You earn 19.3% APR for investing your bitcoin and the borrower pays 19.3% plus other cost of business in interest. This is total riff off for the borrower.

    Then again, when you consider the inflation rate of bitcoin, it may not be such a bad deal. Inflation is always good for the borrower
    Last edited by juleswin; 04-19-2015 at 12:09 PM.

  13. #11
    hard to decipher the inflation or deflation rate of bitcoin. I think any inflation is not necessarily good for the borrower. I always thought is was but the other day I figured out that inflation is only good for the government. Ten years ago I purchased some inexpensive ceiling light fixtures for a home I was rebuilding. The cost at the time was $5 per fixture. I had to get a replacement the other day the cost today $11. Who makes out the state sales tax makes out. Many peoples wages have been stagnant for 10 years but everything else keeps going up.
    Paying back with inflated $$ or BTC is only good if your wage has been increased to keep up with the inflation.
    Last edited by Schifference; 04-19-2015 at 12:25 PM.

  14. #12
    Quote Originally Posted by dannno View Post
    Are the loans denominated in dollars or bitcoin?
    If I take out a $4000 loan in bitcoin, if the value of bitcoin goes to $600+ am I going to owe $12,000?
    "He's talkin' to his gut like it's a person!!" -me
    "dumpster diving isn't professional." - angelatc
    "You don't need a medical degree to spot obvious bullshit, that's actually a separate skill." -Scott Adams
    "When you are divided, and angry, and controlled, you target those 'different' from you, not those responsible [controllers]" -Q

    "Each of us must choose which course of action we should take: education, conventional political action, or even peaceful civil disobedience to bring about necessary changes. But let it not be said that we did nothing." - Ron Paul

    "Paul said "the wave of the future" is a coalition of anti-authoritarian progressive Democrats and libertarian Republicans in Congress opposed to domestic surveillance, opposed to starting new wars and in favor of ending the so-called War on Drugs."

  15. #13
    Quote Originally Posted by dannno View Post
    If I take out a $4000 loan in bitcoin, if the value of bitcoin goes to $600+ am I going to owe $12,000?
    Are you asking if the interest payments are going to be adjusted to inflation?

  16. #14
    Quote Originally Posted by dannno View Post
    Are the loans denominated in dollars or bitcoin?
    From what I understand, all loans are denominated in BTC and doesn't touch USD.

    Quote Originally Posted by dannno View Post
    If I take out a $4000 loan in bitcoin, if the value of bitcoin goes to $600+ am I going to owe $12,000?
    lol, good point. Because it stays denominated in BTC, I guess the borrower should be mindful of that and keep it in BTC, only cashing out when needed. The borrower should probably consider taking out a loan only after the price has had a run up.

    Quote Originally Posted by juleswin View Post
    Maybe I am missing something here but 19% APR is not that impressive. None of my credit cards charges that much for interest. I get it now, you are being sarcastic.
    No the borrower doesn't pay that amount. If you click the link it says 19% for the lender, 6.7% for the borrower. I think it has something to do with "crowdsourcing" the loan. Video says something similar. You will generally never borrow from just one person.

    Quote Originally Posted by Schifference View Post
    Paying back with inflated $$ or BTC is only good if your wage has been increased to keep up with the inflation.
    You essentially have to be mindful of the volatility. If the price goes thru a shooting up wave, then you borrow. Probably not best to borrow when the price is low.

    For the lender it doesn't matter either way since the return stays as BTC. I was posting this as more of something that might interest people sitting on BTC but don't really like to trade.
    Last edited by muh_roads; 04-19-2015 at 01:01 PM.

  17. #15
    Quote Originally Posted by Barrex View Post
    This is really cool. I was looking how much people invest and it is 99% of the time like this ฿0.00072251. You have 5 bucks you invest, you saved 5 dollars today because you didnt bought newspaper-you invest...

    Really excited because of this blockchain technology. Banks of the future will be much different than they are today. This means that investment companies, funds, brokers etc. will have to adapt too.


    This is my referral url:

    https://btcjam.com/?r=48dc068f-a0ab-4cb6-b0f0-7c0475d5c6f0&utm_source=referral_url&utm_campaign= user_referral


    If you plan to sign in you can do it through it. It is free.
    Cool. When I sign up I'll use your link.

    It's also nice to hear they have arbitration partners that work with you as a lender and help out if something goes wrong.
    Last edited by muh_roads; 04-19-2015 at 01:05 PM.

  18. #16
    Quote Originally Posted by muh_roads View Post
    No the borrower doesn't pay that amount. If you click the link it says 19% for the lender, 6.7% for the borrower. I think it has something to do with "crowdsourcing" the loan. Video says something similar. You will generally never borrow from just one person.
    I reckon that by crowd sourcing you mean subsidized for the borrower? cos those numbers don't add up. The borrower cannot be paying out lower interest than the lender is getting. If it was like that, then I will lend myself money using the system and just earn as profit the difference between 19.3% and 6.7%.



  19. Remove this section of ads by registering.
  20. #17
    Quote Originally Posted by juleswin View Post
    Are you asking if the interest payments are going to be adjusted to inflation?
    No, more worried about the principal.

    Sounds like it is more suited for short term smaller loans.
    "He's talkin' to his gut like it's a person!!" -me
    "dumpster diving isn't professional." - angelatc
    "You don't need a medical degree to spot obvious bullshit, that's actually a separate skill." -Scott Adams
    "When you are divided, and angry, and controlled, you target those 'different' from you, not those responsible [controllers]" -Q

    "Each of us must choose which course of action we should take: education, conventional political action, or even peaceful civil disobedience to bring about necessary changes. But let it not be said that we did nothing." - Ron Paul

    "Paul said "the wave of the future" is a coalition of anti-authoritarian progressive Democrats and libertarian Republicans in Congress opposed to domestic surveillance, opposed to starting new wars and in favor of ending the so-called War on Drugs."

  21. #18
    Quote Originally Posted by juleswin View Post
    I reckon that by crowd sourcing you mean subsidized for the borrower? cos those numbers don't add up. The borrower cannot be paying out lower interest than the lender is getting. If it was like that, then I will lend myself money using the system and just earn as profit the difference between 19.3% and 6.7%.
    lol, u should try that. I don't think I will.

    It's a verification system so you'd need to verify two accounts and take the risk of getting caught.

    I'm not sure if they are subsidizing or how the crowdfunding of a loan works.

    Quote Originally Posted by dannno View Post
    No, more worried about the principal.

    Sounds like it is more suited for short term smaller loans.
    That is sorta my take on it too. I don't think you would want to use it for a mortgage until the price is more stable at higher levels in a few years. I've heard rumors that a lot traders use the lending and that is the majority of its use atm. I guess if you are really good at trading and shorting then paying back your loan in BTC despite a spot price increase would not be that big of a deal.
    Last edited by muh_roads; 04-19-2015 at 01:42 PM.

  22. #19
    Regardless the numbers don't add up! Borrower pays 6% lender gets 19% where does the other 13% come from? Thin air?

  23. #20
    Quote Originally Posted by muh_roads View Post
    lol, u should try that. I don't think I will.

    It's a verification system so you'd need to verify two accounts and take the risk of getting caught.

    I'm not sure if they are subsidizing or how the crowdfunding of a loan works.
    So the big obstacle with me scheming the system is getting my hand on 2 BTC accounts? I don't know it yet but there is an important detail missing from this investment offer.

  24. #21
    Quote Originally Posted by juleswin View Post
    So the big obstacle with me scheming the system is getting my hand on 2 BTC accounts? I don't know it yet but there is an important detail missing from this investment offer.
    Yes how you the lender gets screwed.

  25. #22
    Quote Originally Posted by Schifference View Post
    Yes how you the lender gets screwed.
    If it gets me on American Greed, I'll call it a wash . LOL, not saying its a scam yet but this sounds like one of those investment pitches you hear on American Greed.

  26. #23
    So while away I was thinking a lot about what we've been talking about in here. I think these rates are best case scenarios for both parties. If the lowest is 6.7% then that is what you'll get when you lend your own out as well. 19% was probably an example of a best case scenario. But having any loan option at all if you need it is better than none if the traditional banks deny you.

    Lending your own BTC is something you can do any time. Your return is in BTC. Unless you think you are a good trader and can beat the market.

    But borrowing is definitely something you should time near the top of a bubble. Even at the highest rate of 19%, you would have no trouble paying back your loan as the price falls. It would be like a negative interest rate to your benefit if the funds are being used to rebuy BTC after selling. You wouldn't even need to be close to perfect when timing the top. Something to keep in mind whenever the next bubble comes.

    For now I'll just keep playing the 100 to 300 consolidation period we're in and mess around with borrowing during future times.

  27. #24
    Quote Originally Posted by Schifference View Post
    Raul went to the bank to borrow money but was faced with expensive interest rates so he went to BTCJam and only paid 19%APR. That sounds very reasonable
    Raul probably doesn't live in a country where the central bank is keeping interest rates artificially low. A 19% loan is better than the "charity" loans that people get through some microlenders like Kiva. And Kiva loans are cheaper than the local lenders.

    See: http://www.kiva.org/help/interestRateComparison and http://www.kiva.org/about/microfinance#III-I
    9/11 Thermate experiments

    Winston Churchhill on why the U.S. should have stayed OUT of World War I

    "I am so %^&*^ sick of this cult of Ron Paul. The Paulites. What is with these %^&*^ people? Why are there so many of them?" YouTube rant by "TheAmazingAtheist"

    "We as a country have lost faith and confidence in freedom." -- Ron Paul

    "It can be a challenge to follow the pronouncements of President Trump, as he often seems to change his position on any number of items from week to week, or from day to day, or even from minute to minute." -- Ron Paul
    Quote Originally Posted by Brian4Liberty View Post
    The road to hell is paved with good intentions. No need to make it a superhighway.
    Quote Originally Posted by osan View Post
    The only way I see Trump as likely to affect any real change would be through martial law, and that has zero chances of success without strong buy-in by the JCS at the very minimum.



  28. Remove this section of ads by registering.
  29. #25
    Quote Originally Posted by Schifference View Post
    Regardless the numbers don't add up! Borrower pays 6% lender gets 19% where does the other 13% come from? Thin air?
    Exaggerate the potential returns while minimizing the perceived costs. Typical sales tactics- show lowest costs combined with maximum possible returns. 6.7% is for the most frequent users (borrowers- the more often you borrow from them and pay it back, the higher your credit rating and lower rate- like any bank) with the highest credit ratings (a person with a high credit rating could get a similar rate on a business loan from a bank without the risks of changing value of bitcoins). 19.3 is the maximum you can get if you loan to a high risk (new) borrower (who would be paying that 19.3%) and they actually pay you back with interest.

    Borrowers are also charged fees.

    https://btcjam.com/borrow/rates_and_fees

    Rates & Fees
    1. Free for lenders!

    We do not charge lenders any fees.

    2. Borrowers

    Loans below 5 BTC are charged a 4% closing from the amount funded.
    All other loans are charged a 1% closing fee.
    3. Late Payments

    If the borrower payment is late, a late fee will be charged after 5 days.

    The late payment fee amount is the greater value of 5% of the unpaid amount or the bitcoin equivalent of 15 USD.
    Pretty expensive borrowing at 19.3%. You would be better off getting a credit card.
    Last edited by Zippyjuan; 04-20-2015 at 12:02 PM.

  30. #26
    If just wanting to borrow, I'll reiterate.

    - Use credit cards for loans at the bottom of a bubble.

    - Use BTC for loans at the top of a bubble.

  31. #27
    I looked a bit into that last year. I decided not to, after being on hashtalk (Paycoin forum), and seeing multiple people advertising their loans to buy more "virtual" miners on GAW. They were just playing a high risk game with others money. If it worked out they would repay, if it didn't they wouldn't, lol. You might as well in that situation just go by the risky product yourself.

    Anyway, I wouldn't do it, the quality of the borrowers seemed really low, at least last year it was.

  32. #28
    Quote Originally Posted by RonPaulIsGreat View Post
    I looked a bit into that last year. I decided not to, after being on hashtalk (Paycoin forum), and seeing multiple people advertising their loans to buy more "virtual" miners on GAW. They were just playing a high risk game with others money. If it worked out they would repay, if it didn't they wouldn't, lol. You might as well in that situation just go by the risky product yourself.

    Anyway, I wouldn't do it, the quality of the borrowers seemed really low, at least last year it was.
    It all comes down to the rating system I imagine. The lenders probably got greedy taking a risk on D-rated kids wanting to mine.

    In a free market you get to make 100% of your own choices, but you have no one to come crying to if something goes wrong. At least here they provide arbitrage services for you.

    I think the rating system involves hooking your ebay account to it. I think you can add other accounts online to it that help prove you are an honest person based on an average with all linked sites. That's how you can start with a high rating with a new account.
    Last edited by muh_roads; 04-21-2015 at 09:16 AM.

  33. #29
    If I loan someone 10k FRN and they default I can write that off my taxes as a bad debt.

  34. #30
    Seems like a perfect opportunity for those who think that bitcoins will drastically increase in value.

Page 1 of 2 12 LastLast


Similar Threads

  1. Who's Afraid of Peer Review?
    By donnay in forum Science & Technology
    Replies: 1
    Last Post: 10-06-2013, 06:25 PM
  2. Peer Block aka Peer Guardian IP Blocker A Must For All Who Torrent!
    By Reason in forum Individual Rights Violations: Case Studies
    Replies: 3
    Last Post: 12-20-2009, 08:58 AM
  3. Are there any peer reviewed journals for austrain economics? (eom)
    By UnReconstructed in forum Economy & Markets
    Replies: 8
    Last Post: 04-03-2009, 08:21 PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •