AA ⚡️(@AAStack):Dad buys $100K of Bitcoin. Years later, it’s worth $5M. Dad doesn’t sell because selling means realizing $4.9M in gains. Instead, Dad borrows against the Bitcoin. Loans generally aren’t taxable income. Dad gets liquidity without selling the asset. Dad dies still owning the Bitcoin. His kids inherit it with a stepped-up cost basis under current U.S. tax law. The original $4.9M capital gain? Potentially gone for income-tax purposes. Buy. Borrow. Die. The wealthy have used this strategy with real estate and stocks for generations.

2026.08.22 14:23

Dad buys $100K of Bitcoin. Years later, it’s worth $5M. Dad doesn’t sell because selling means realizing $4.9M in gains. Instead, Dad borrows against the Bitcoin. Loans generally aren’t taxable income. Dad gets liquidity without selling the asset. Dad dies still owning the Bitcoin. His kids inherit it with a stepped-up cost basis under current U.S. tax law. The original $4.9M capital gain? Potentially gone for income-tax purposes. Buy. Borrow. Die. The wealthy have used this strategy with real estate and stocks for generations.