> ## Documentation Index
> Fetch the complete documentation index at: https://docs.roxom.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Roxom Carry

> Bitcoin income powered by STRC and Digital Credit. Borrow against your BTC at 50% LTV, buy STRC, and earn ~2.25% net annual yield, paid in sats.

<Tip>
  **Just want to buy STRC with Bitcoin?** Use [One-Click Trade](/help-center/one-click-trade/how-to-buy-or-sell-tokenized-assets) to swap BTC for STRC directly. Roxom Carry is a different product. It lets you earn STRC yield **without selling your BTC** by using it as collateral for a USDT loan, which is then used to purchase STRC.
</Tip>

<Info>
  Roxom Carry is an instrument within [Roxom Loans](/help-center/loans/what-is-roxom-loans), the collateralized lending engine. Today it is available via OTC. Self-service access from the platform will follow the rollout of the [BLOC (Bitcoin Line of Credit)](/help-center/loans/bitcoin-backed-credit-line).
</Info>

## How it works

Roxom Carry lets you generate yield in Bitcoin using BTC as collateral, without selling it. Your Bitcoin earns you more Bitcoin.

<Steps>
  <Step title="Deposit BTC">
    Your Bitcoin is held as collateral. It is never sold.
  </Step>

  <Step title="Receive a USD loan">
    Borrow up to 50% LTV. The loan is converted into [STRC](/help-center/one-click-trade/how-to-buy-or-sell-tokenized-assets) exposure.
  </Step>

  <Step title="Earn monthly dividends">
    STRC pays \~11.5% annualized dividends. Roxom automatically converts them to BTC and credits your account.
  </Step>

  <Step title="Repay when you want">
    No maturity, no penalty. Repay in USDT at any time and your BTC is released.
  </Step>
</Steps>

You pocket the difference:

<CardGroup cols={3}>
  <Card title="You earn 11.5% STRC dividend (APR)">
    STRC currently pays a monthly dividend at 11.5% annualized on the loan amount (variable rate). Roxom converts it to BTC at market rate and credits your account.
  </Card>

  <Card title="You pay 7.25% APR borrow cost">
    7.25% APR on your USD loan, compounding daily. This is aligned with the [BLOC (Bitcoin Line of Credit)](/help-center/loans/rates-and-terms) rate. Rate may vary by position size and prevailing market conditions. Always visible in your account.
  </Card>

  <Card title="You keep ~2.25% net annual carry">
    The difference between what you earn and what you pay, scaled by how much of your BTC you deploy (50% LTV). Net Bitcoin Yield = Carry Spread × Collateralization Ratio ≈ 4.5% × 50% ≈ 2.25%. Rates are variable. Your actual carry may differ.
  </Card>
</CardGroup>

Dividends go straight to BTC. Your Bitcoin stays put. The spread is yours to keep.

<Info>
  This is not trading, leverage speculation, or a complex derivative. You are using BTC as collateral to capture a yield spread. Roxom lends you USD against your Bitcoin, automatically buys the STRC for you, and credits you the monthly Bitcoin dividends. Rates are variable and results are not guaranteed.
</Info>

For the full mechanics of the underlying loan (custody, segregation, LTV monitoring, liquidation), see [Roxom Loans](/help-center/loans/what-is-roxom-loans).

***

## Example

|                      | Value                                |
| -------------------- | ------------------------------------ |
| **Deposit**          | 1 BTC (\$72,000)                     |
| **LTV**              | 50%                                  |
| **Loan**             | \$36,000                             |
| **STRC yield**       | \~11.5% (on loan amount)             |
| **Borrow cost**      | 7.25% APR                            |
| **Annual dividends** | +\$4,140                             |
| **Annual interest**  | −\$2,527                             |
| **Net carry**        | **\~\$1,613 (\~2.24% on total BTC)** |

All returns are automatically converted to BTC.

At scale: starting with 100 BTC as collateral, the carry sleeve alone produces approximately 2 extra BTC per year, a \~2% boost to your entire stack, on top of whatever Bitcoin does.

***

## Product parameters

### Loan terms

| Parameter                  | Value                                                         |
| -------------------------- | ------------------------------------------------------------- |
| **Collateral**             | BTC                                                           |
| **Max LTV at origination** | 50%                                                           |
| **Borrow rate**            | 7.25% APR (may vary by size and prevailing market conditions) |
| **Interest**               | Accrues daily, compounds on outstanding balance               |
| **Maturity**               | None (open-ended)                                             |
| **Origination fee**        | None                                                          |
| **Prepayment penalty**     | None                                                          |
| **Liquidation fee**        | 2% of the BTC effectively liquidated                          |
| **Minimum deposit (OTC)**  | 0.5 BTC                                                       |
| **Repayment**              | USDT, any time                                                |

### Liquidation thresholds

| Level                   | LTV                               | Action                                     |
| ----------------------- | --------------------------------- | ------------------------------------------ |
| **Margin Call**         | 70%                               | Notification. Add collateral or repay.     |
| **Partial Liquidation** | 80%                               | System sells BTC to bring LTV back to 65%. |
| **Full Liquidation**    | If residual is less than USDT 200 | Loan is closed.                            |

Thresholds are aligned with the [BLOC (Bitcoin Line of Credit)](/help-center/loans/ltv-margin-calls-and-liquidation). BTC would need to fall \~37.5% from entry for partial liquidation to trigger at 50% LTV. You can top up BTC or make partial repayments at any time to bring your LTV back down.

### Dividend settlement

STRC pays a monthly USD cash dividend on Nasdaq. Roxom collects the dividend, converts it to BTC at market rate, subtracts your accrued borrow cost, and credits the net carry to your Roxom account. You choose what to do next: compound the position (buy more STRC by looping the carry trade with fresh dividends), or simply stack the BTC.

***

## Compounding (the flywheel)

If you reinvest your carry:

1. You earn BTC from the spread
2. Add it as additional collateral
3. Borrow more against the higher collateral
4. Buy more STRC
5. Generate more yield

This cycle compounds over time. It depends on BTC price stability, rate consistency, and continued STRC dividends. You get full transparency and one-click controls: auto-compound to keep the flywheel spinning at full speed, manually adjust when you want, or let the dividends stack as pure BTC.

***

## How Bitcoin price movements affect your yield

Your net Bitcoin yield is a direct function of the carry spread (currently \~4.5%) and your actual LTV at any given moment. Because your collateral is Bitcoin, its dollar value moves constantly, which means your LTV is dynamic.

* **If Bitcoin goes up:** your collateral rises in value, your LTV compresses below 50%, and your net yield dips below 2.25%. To maintain the full yield, you can top up your loan (borrow more against the higher BTC value) and buy more STRC. Or keep the extra safety buffer and accept a slightly lower yield.
* **If Bitcoin goes down:** your collateral drops in value, your LTV rises above 50%, and your net yield actually increases above 2.25%. The trade-off is a thinner safety buffer and higher liquidation risk, which is why conservative starting LTVs matter.

***

## Why STRC

STRC is a preferred stock issued by Strategy Inc. (formerly MicroStrategy), listed on Nasdaq.

* Pays **\~11.5% annualized** dividends, monthly
* Designed to trade near **\$100** (par value). The dividend adjusts dynamically to stabilize price.
* Strategy holds a reserve of \~\$2.25B to sustain payments
* \~\$250M average daily volume, the most liquid preferred stock in the US

<Warning>
  Dividends are variable, board-declared, and not guaranteed. The \$100 price target is maintained through market dynamics and board decisions, not a hard peg.
</Warning>

***

## Yield comparison

| Instrument       | Yield       | BTC exposure |
| ---------------- | ----------- | ------------ |
| **Roxom Carry**  | **\~2.25%** | Yes          |
| T-Bills          | \~4.3%      | No           |
| Money market     | \~4.5%      | No           |
| High yield bonds | \~6.8%      | No           |

Roxom Carry is the only option in the list that lets you earn yield **while maintaining full BTC upside exposure**.

***

## Risks

<AccordionGroup>
  <Accordion title="BTC price drop">
    A falling BTC price increases your LTV and can lead to liquidation. At a 50% starting LTV, BTC would need to fall \~37.5% from entry for a partial liquidation to trigger (LTV reaching 80%). You can top up collateral or partially repay at any time. A one-click pause button is available in your dashboard.
  </Accordion>

  <Accordion title="Rate variability">
    Both the STRC dividend yield and the borrow rate can change. If STRC yield drops or borrow cost rises, the spread narrows or turns negative.
  </Accordion>

  <Accordion title="Compounding interest">
    The loan accrues interest daily and compounds on the outstanding balance. The debt grows over time.
  </Accordion>

  <Accordion title="STRC dividend dependency">
    Dividends are funded by Strategy Inc. and are not guaranteed. In a prolonged bear market, the funding model could face pressure.
  </Accordion>
</AccordionGroup>

***

## Get started

Roxom Carry is now live via OTC for deposits of **0.5 BTC and above**. Self-service access from the platform frontend is coming soon, following the rollout of the [BLOC (Bitcoin Line of Credit)](/help-center/loans/bitcoin-backed-credit-line). Smaller retail deposits will also be opening up in the coming weeks.

→ Contact [otc@roxom.com](mailto:otc@roxom.com) to open a carry trade
→ Visit [roxom.com/carry](https://roxom.com/carry) to join the waitlist or request early access

***

## FAQs

<AccordionGroup>
  <Accordion title="What happens to my BTC?">
    Your Bitcoin is posted as collateral with Roxom. It is never sold, never rehypothecated. You keep 100% of the upside. On full repayment, your BTC is released back to you.
  </Accordion>

  <Accordion title="What happens if Bitcoin goes up?">
    Your collateral is worth more, so your LTV compresses below 50%. Your net yield dips below 2.25% because less of your collateral value is deployed.

    **Example:** you deposited 1 BTC at $72k and borrowed $36k (50% LTV). BTC goes to $90k. Your collateral is now $90k but your loan is still \$36k, so your LTV drops to \~40%.

    To maintain the full 2.25% net yield, simply top up your loan (borrow more against the higher BTC value) and buy more STRC. Or keep the extra safety buffer and accept a slightly lower yield.
  </Accordion>

  <Accordion title="What happens if Bitcoin drops?">
    Your collateral is worth less, so your LTV rises above 50%. The carry keeps paying, and your net yield actually increases above 2.25%, but your safety buffer shrinks and liquidation risk increases.

    * **Margin Call** at 70% LTV
    * **Partial Liquidation** at 80% LTV
    * **Full Liquidation** if residual after partial is less than USDT 200

    You can top up BTC or make partial repayments at any time to bring your LTV back down. This is why conservative starting LTVs are recommended.
  </Accordion>

  <Accordion title="How does the net carry work?">
    Net Bitcoin Yield = Carry Spread × Collateralization Ratio.

    * STRC currently pays **\~11.5%** annualized dividends (variable)
    * Borrow cost is **7.25% APR**
    * Carry Spread ≈ 11.5% − 7.25% ≈ **4.25%** (rates rounded)
    * At 50% LTV: 4.5% × 50% ≈ **2.25%** net annual carry on your total BTC, paid monthly

    Rates are variable and your actual carry may differ.
  </Accordion>

  <Accordion title="What are the liquidation thresholds?">
    | Level               | LTV                  | Action                            |
    | ------------------- | -------------------- | --------------------------------- |
    | Entry               | 50%                  | n/a                               |
    | Margin Call         | 70%                  | Notification                      |
    | Partial Liquidation | 80%                  | Sell BTC to bring LTV back to 65% |
    | Full Liquidation    | residual \< USDT 200 | Close loan                        |

    Thresholds are aligned with the [BLOC (Bitcoin Line of Credit)](/help-center/loans/ltv-margin-calls-and-liquidation). At a 50% starting LTV, BTC would need to fall \~37.5% from entry for partial liquidation to trigger. You can always top up or partially repay to avoid it. If proceeds don't cover the full debt, Roxom absorbs the shortfall.
  </Accordion>

  <Accordion title="How are dividends settled?">
    STRC pays a monthly USD cash dividend on Nasdaq. Roxom collects it, converts it to BTC at market rate, subtracts your accrued borrow cost, and credits the net carry to your Roxom account. You can choose to compound the position (buy more STRC by looping the carry trade with fresh dividends) or simply stack the BTC.
  </Accordion>

  <Accordion title="What does the borrow rate depend on?">
    The borrow rate is **7.25% APR**, aligned with the [BLOC (Bitcoin Line of Credit)](/help-center/loans/rates-and-terms). It may vary by position size and prevailing market conditions, including benchmark rates such as SOFR (Secured Overnight Financing Rate). Interest accrues daily and compounds on the outstanding balance. Your current rate is always visible in your Roxom account.
  </Accordion>

  <Accordion title="Is there a minimum deposit?">
    Deposits of **0.5 BTC and above** are currently accepted for the first cohort via OTC. No origination fee, no minimum holding period. Smaller retail deposits will be opening up in the coming weeks. Join the waitlist at [roxom.com/carry](https://roxom.com/carry).
  </Accordion>

  <Accordion title="Can I close the position early?">
    Yes. Open-ended, no maturity, no early repayment penalty. Repay in USDT at any time. Your BTC is released on full repayment.
  </Accordion>

  <Accordion title="What is STRC?">
    Strategy Inc. Variable Rate Series A Perpetual Stretch Preferred Stock (Nasdaq: STRC). $100 stated value, ~11.5% annualized dividend (variable, board-declared), ~$250M average daily volume. The most liquid preferred stock in the US.

    Dividends are not guaranteed. For more details on how dividends are paid, see [How corporate actions are handled](/help-center/one-click-trade/how-corporate-actions-are-handled).
  </Accordion>

  <Accordion title="What about taxes?">
    100% of 2025 STRC distributions were treated as Return of Capital (ROC) for US federal tax purposes, reducing your cost basis with no taxable income. Strategy has confirmed they expect this treatment to continue for 10+ years.

    Non-U.S. holders: zero U.S. withholding tax. You receive the full dividend converted to Bitcoin.

    Tax treatment outside the United States will vary by jurisdiction. Roxom makes no representation as to the tax treatment of returns in your country of residence. Consult a qualified tax advisor before participating.
  </Accordion>
</AccordionGroup>