Bitcoin Forum

I needs to borrow 11 BTC for 1 year. What are the required collateral?

check this link to know what are things are considered valid collateral

https://bitcointalk.org/index.php?topic=577765.msg6311902#msg6311902

You beat me to it, i was just posting the same link.

If you do have valid collateral then it could happen but 1 year is a ling time, what sort of interest are you offering?

11 BTC is about $4900 at current rate. A lot of people expects the BTC price to rise steadily over the next couple of months/years.
I don't think you'll get an offer of less than 15% intrest (since it's such a long time), meaning you'll have to pay back at least 12.65BTC
Collateral should be at least 120% of the loan + intrest (maybe even more for such a long loan), so the collateral should be worth at very least 15.18BTC ($6800). Chances are that a lender willing to lend 11 BTC for 1 year will charge a (much) higher intrest (to account for the volatility) and will want collateral that is worth more than 120% of the loan + intrest... So he might demand collateral worth much more than $6800

Normally, collateral should be something like stable altcoins or transferable accounts. In your case, you could go for physical collateral. Something that is easily sendable in the mail, and has a very steady price... I'm thinking about gold, jewlery, appraised art, maybe even a car if you find a lender in your area???

If you are low on material goods, try using a family members' arse. You fail to pay, the lender cashes that arse at $50 a hit!

Your right physical collateral is what it would have to be a to secure a loan for this length of time,  gold/diamond jewelry would probably suite best as they are normally always a good investment.

If there is a hugh price rise within the year you take then you could end up owing much more than you considered.
The old to semi old time members here would all remember the dank situation.
He borrowed something like the equivalent of $2000 usd and ended up owing  $52k after the gox inspired price rise.
Tough lesson.

1 year is a very long time for a bitcoin loan. Even if your able to provide a valid collateral you will have a hard time finding a lender.

is on btcjam I got such a loan? before I will verify my account.


is btcjam is trusted?

Personally, i've never taken a loan in my life... I've had some coins invested in btcjam, and i must say i've not ROI'd (was able to withdraw less than i put in due to loan defaulters).
But: i'm pretty sure that, so far, btcjam itself is not cheating... Just the borrowers on the site have a habit of ripping people off lately (or i might have an unlucky streak)

With 15% interest it would be cheaper to go to a bank instead. It's easier and more convenient for bot of you. Remember you are just a Jr. member. It needs trust to give out money.
And finding a 5-7k collateral will be ard.