BTCJam Lending Updates

So, I've been on BTCJam.com for a bit over a week now lending out some of my bitcoins and so far it has been a pretty darn positive experience for me; I would very much recommend it!  I am planning to update this blog with some of the statistics from my lending so that it may, hopefully, help someone, somewhere.

 *Please note, this is not intended to be lending advice.  This is all just my personal experience with the site*

So, as of now, I have 16 active loans in which I have invested, I have 6 pending loans and I have 5 repaid loans.

My 16 active loans are a combined .27 BTC - so not a whole ton of money invested on my part.  Of those  16, 1 is late; currently by 3 days.

Of my 5 repaid loans, 4 of them have been paid off early.  I find this pretty encouraging.  From what I can tell of the community most of the people involved take this very seriously which is great.  Currently I am sitting at a very pleasant 12.92% return on my loans.  Now, I'm no economist or accountant (though I would love to learn more about all that!) I am pretty sure 12.92%  return in roughly 2 weeks is a whopping 336% return over the course of a year.  (12.92% / 2 = 6.46% per week * 52 weeks = ~336%.  Please correct me if this is not actually how this works; but it makes sense in my head!).  This number would be even higher if I hadn't invested in a "MtGox Linked" loan which, while it increased the dollar value of my holdings, did reduce my bitcoin holdings.  You can read my previous BTCJam posting for more info on the MtGox Linked loans.

My personal goal with my investments has been to get in on pretty much anything that is offering over 4% and I have been investing on average .0139 BTC in each loan.  As I get paid back, I have just been rolling my investments over in to new loans.  As I get more comfortable with all this I expect that my average investment will probably actually go down to about .01 BTC.  I think its a little safer to keep the money spread out a bit more and by spreading my money out it means I will theoretically be getting payments more frequently as well as loans mature on different dates.  I have also been investing almost exclusively in 15-60 day loans; however BTCJam allows for loans as long as 1 year.  I expect I will also begin investing in some longer maturity loans as time goes on so that I can try and keep up this rate of return.

Here's my list of folks who have paid back on time or early thus far:

Gappie
VictorBC
keknow
Just
The Fabled (1st payment was a day late, but paid off the whole loan at once 3 weeks early)

And investments which may have been a mistake:

Futures (currently 3 days late)


Happy bitcoining (totally a verb)!

www.btcjam.com