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Liquidation Price Calculator

Calculate your exact liquidation price and safety margins. Know exactly when you'll receive alerts and how much buffer you have before liquidation.

Your Loan Details

Formula:

Liquidation Price = (Loan Amount / Collateral BTC) / 0.90

Results

Liquidation Price
$55,556
per BTC
Current LTV
50.00%
Safe
BTC Price Drop to Liquidation
44.44%
Bitcoin can drop by this much before liquidation
Current Collateral Value
$20,000
0.20000000 BTC

Real-Time Alert System

🟡 First Alert (80% LTV)$62,500
🟠 Second Alert (85% LTV)$58,824
🔴 Liquidation (90% LTV)$55,556

You'll receive email and dashboard alerts well before liquidation, giving you time to add collateral or partially repay.

Historical Context

📉

2022 Bear Market

Bitcoin fell 77% over 12 months. From ~$69,000 to ~$15,500.

📉

May 2021 Market Dip

Bitcoin dropped 53% within weeks. From ~$64,000 to ~$30,000.

Why We Still Think a Bitcoin Collateralized Loan is Worth It for Every Bitcoiner

💰

You Keep Your Bitcoin Upside

When you sell Bitcoin to access cash, you lock in today's price and miss all future gains. With a Bitcoin-backed loan, you get cash today while keeping 100% exposure to Bitcoin's price appreciation. If Bitcoin doubles, you still own that upside.

🚫

No Taxable Event

Selling Bitcoin triggers capital gains taxes that can cost you 15-37% of your profits. A Bitcoin-backed loan lets you access liquidity without creating a taxable event, keeping more money in your pocket.

Time in the Market Beats Timing the Market

Bitcoin has historically recovered from every major drawdown and reached new all-time highs. Selling to access cash means you have to perfectly time re-entry. Borrowing against Bitcoin means you never leave the market.

🛡️

Multiple Layers of Protection

You receive early alerts at 80% and 85% LTV, giving you plenty of time to add collateral or partially repay. You can add more Bitcoin anytime to increase your safety buffer. Even in worst-case liquidation, you receive any remaining value above the loan amount.

📊See the Real Numbers

Curious about the actual cost of selling your Bitcoin versus borrowing against it? Our Opportunity Cost Calculator shows you the exact dollar difference based on Bitcoin's historical performance.

Calculate Your Opportunity Cost
Get Started with a Safe Loan

Questions? Check out our FAQ