Mark Moss outlines a five-year plan to generate tax-free income using Bitcoin as collateral. Borrow against your Bitcoin at 10-60% LTV depending on market conditions, then use the proceeds to create roughly $100k annual cash flow per $100k of Bitcoin. He provides a free calculator and book with the math.
5-year blueprint, 3 simple steps. Step number 1, start getting some Bitcoin. You got to have some Bitcoin to do this. So strategic accumulation, couple ways you can do this. Obviously, number 1, just go buy it. We call that lump sum buying. Number 2, you can dollar cost average into it every 2 weeks. Some of your paycheck can go into it if you want to do it that way, or you can just go buy some right now. I don't want to get into the ins and outs of which one is better. They're both good. It depends what you try to do. Based off of this or anything that we're talking about, if you want to go deeper Leave it in the comments down below. All right, number 2, then once we have the Bitcoin, we use strategic leverage, collateralized lending against that. And then the loans that we get become the cash flow that we can use. Let me break this down for you with a calculator. Now, real quick, I want to let you get your own calculator. I have this done. And I have a book right here that breaks all of this down into great detail. And I want to give you this book for free. I'm gonna give you this calculator completely free. We'll link to it down below. You can have it. It's not a trick. Go ahead and get it. All right, so here's how this works. I can put up here my starting date, so beginning of this year, 2025, and I can put in how much Bitcoin I have. So let's say I start with 1 Bitcoin right here. 1 Bitcoin, $100,000. Now, in 5 years, this Bitcoin will go up. Now, these are my projections of how much it'll gain based off of the past history and what the government tells us as far as money printing will continue. They project that for the next 30 years. Okay. So, and there's also on the calculator, you can go backtest it on your own. So Bitcoin typically has 3 good years and then a drawdown year. So I imagine we'll continue that. Now it doesn't continue going up at the same rate, but it also doesn't continue going down the same rate. So I've modeled that as well. Again, go watch the full video on this model to understand this, and you can plug in your own numbers. But if I have 1 Bitcoin right here, it's worth about $100,000 today. And I wait until 2030, 5 years from now, I would then borrow against it $111,000. That's 13% of my total value. I'm going to borrow 13%, 13% LTV. I borrow $111,000. $11,000 of that goes into an interest reserve account. It's just an account and it makes my payment for me. That means I have $100,000 of free cash flow. I don't pay tax on it. I can spend that $100,000 however I want.. And what this will allow is every single year in perpetuity for me to pull out $100,000 tax-free to live off on. So if this model holds, and I can break it down for you why I think it does— again, we'll link to that down below— you could have 1 Bitcoin, about $100,000 today, and in 5 years from now pull out $100,000 in perpetuity. Now let's compare this to what the traditional financial model is. Remember, half of the baby boomers who have money have about $200,000. They're being told they can pull out about 4% per year, uh, heaven forbid the markets crash, which is about, you know, $8,000 or $9,000 a year. Versus this, the same— well, the $200,000 will get them $200,000 a year. So would you rather wait 40 years, save up $200 grand, and have $800 a month, or, you know, $9 grand a year? Or would you rather have $200 grand and pull out $200 grand a year in 5 years? Obviously the answer is pretty simple. Okay, so that's the math of this. And like I said, I want to break all that down for you, so go watch the other video. But we can understand also the next thing you're going to ask is, but Mark, what about market cycles? Yes, so we can see that again. We see— we know when they go up, we know when they go down, up and down. So here I might borrow only, you know, 10 to 15% against my stack. Here I could feel good You know, borrowing 50 to 60% against my stack. We can time all that. And again, the calculator models all of that. Now, traditionally, and again, this is only possible to deploy these strategies, the 1%, now because we have a new financial asset. All you gotta do is buy it and wait 5 years and not mess this up.
