Bitcoin Down Payment Calculator
Compare three ways to fund a home down payment with Bitcoin: sell BTC at spot, pledge it on Better/Coinbase-style published terms, or take a cash-out Bitcoin loan with a liquidation path. Then stress 30/50/80% price dumps and compare cash-out origination at 30%, 35%, and 50% LTV. The same sell vs pledge vs cash-out math is callable at POST or GET /api/tools/down-payment. Education only — no apply CTA and no lender directory. Free, no login.
Formula
Sell: BTC sold = down payment ÷ spot (optional tax gross-up is an editable assumption, default 0%). Pledge: 250% collateralization / 40% credit (pledge $250k BTC to get $100k). Cash-out: 50% origination LTV, 65% margin call, 80% liquidation — same loan math BitStack uses elsewhere. compare_ltv_buckets also runs 30% origination. maxHealthyOriginationLtvAtDump = 65 × (1 − dumpPercent/100).
Worked example
Published pledge example: pledge $250k of BTC to get $100k (250% collateralization / 40% credit). On the published cash-out example ($500k house, $100k down, $100k illustrative spot, 50% dump): 50% origination liquidates (LTV 100%); 35% margin-calls (70%); 30% stays healthy (60%). 32.5% origination sits exactly on the 65% margin line.
Source
Better / Coinbase published example — not an application. Cash-out thresholds are BitStack's existing loan-math defaults (50% / 65% / 80%). The 50% dump is a scenario toggle, not a predicted floor. It is sourced as an interview claim (Eric Yakes on What Bitcoin Did, describing this cycle's ~50% drawdown as a possible worst-case perception). Historical 80% stress remains available. It is not a forecast. This collateral math uses Savings-bucket BTC only. Bitcoin ETFs, MSTR, and Income-bucket assets are not pledgeable collateral here.
Frequently asked questions
Should I sell Bitcoin for a house down payment?
Selling BTC raises cash immediately but permanently reduces your stack. This calculator shows how many BTC you would sell at spot (and, if you edit the illustrative tax rate, a gross-up). It is education only — not tax, mortgage, or investment advice. DYOR.
What are Better/Coinbase-style pledge terms?
This model uses a published example: 250% collateralization / 40% credit (pledge $250k of BTC to get $100k), a 0.5–1.5% rate premium, a 680 FICO floor, and liquidation described only after 60 days delinquent. A BTC dump does not change those loan terms or liquidate the way a margin loan would. Cited as a published example, not as an application or a lender marketplace.
How is a cash-out Bitcoin loan different from pledging?
Cash-out BTC loans typically originate at 35–50% LTV and can be margin-called or liquidated if Bitcoin falls. This calculator uses BitStack’s existing loan math: 50% origination LTV in the three-path column, 65% margin call, 80% liquidation. compare_ltv_buckets also includes 30% origination — the round bucket that stays healthy after a 50% dump. Pledge-style terms in the published Better/Coinbase example are not a dump-liquidation product. This collateral math uses Savings-bucket BTC only. Bitcoin ETFs, MSTR, and Income-bucket assets are not pledgeable collateral here.
What do the 30%, 50%, and 80% dump chips do?
Each option originates at the live BTC price. The chips reprice Bitcoin after origination. Sell shows the opportunity cost of BTC already sold and how much extra you would need if you sold after the dump. Pledge stays not-liquidated on price. Cash-out LTV is run through the same liquidation helpers used elsewhere in BitStack (healthy / margin / liquidated). The comparison view defaults to 50%. Historical 80% stress remains available.
Is the 50% dump a price prediction?
The 50% dump is a scenario toggle, not a predicted floor. It is sourced as an interview claim (Eric Yakes on What Bitcoin Did, describing this cycle's ~50% drawdown as a possible worst-case perception). Historical 80% stress remains available. It is not a forecast.
Is this a loan application?
No. There is no apply or pre-approval path and no lender directory. Create a BitStack account only if you want to track holdings and loans you already have. Not financial advice. DYOR.
Links
Interactive calculator: enable JavaScript or open trybitstack.com.