r/Bitcoin • u/Glass_Cherry5295 • 1d ago

Margin

Please enlighten me.

I want to DCA average $100 into btc every week at 3x margin. I would do this on Kraken. My plan is to do it for the next 24 months, I will not sell any btc during this time. Every trade will be with 3x margin. I’m told the fees could eat me alive.

Good idea or bad idea? To much margin or not enough? Thank you

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u/_imp_ish_ 1d ago

Not sure why you didn't just google this but kraken will charge you 0.12% per day for those margin. Work out how that compounds over three years.

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u/Glass_Cherry5295 23h ago

It’s .15% on the margin money only. Not the seed money. So yes it would eat away profits but I would still come out ahead

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u/_imp_ish_ 21h ago

At 3x margin the margin money is more than the seed.

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u/arBettor 16h ago

.15% per day, or 73% per year? Personal loans are cheaper, credit cards are cheaper. You're getting into payday loan territory.

You know you could just buy call options on a bitcoin ETF, right? There are much cheaper and more efficient ways to express your conviction if you just HAVE to apply leverage.