The Mustard Seed Bitcoin Podcast Digital Credit TAM and the Bitcoin + Digital Credit Carry Trade
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Apr 15, 2026 Borja (Roxham), a Bitcoin capital markets pro building Bitcoin‑denominated fixed income, explains digital credit and the Bitcoin carry trade. He describes using BTC as collateral to earn Bitcoin yield. He contrasts transparent digital credit with opaque yield products. He outlines how BTC pricing and reflexive growth can expand markets and drive adoption.
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Digital Credit Creates Bitcoin Fixed Income
- Digital credit can create a new Bitcoin fixed income market by issuing dollar liabilities backed by traditional fixed income, enabling transparent Bitcoin-denominated yield.
- Borja explains borrowing dollars against Bitcoin to buy high-yield digital credit (Stretch/SATA) as a transparent carry trade that produces Bitcoin yield when dividends are paid in Bitcoin.
Run The Bitcoin Carry Trade When Spread Exists
- Do consider borrowing against your Bitcoin and buying digital credit when borrowing costs are below the yield to pocket the spread as a carry trade.
- Borja practiced this personally since January: borrow BTC-collateralized dollars, buy STRC, and retain the Bitcoin-denominated returns.
Transparency Differentiates Digital Credit From Black Boxes
- Digital credit is materially more transparent than prior 'black-box' Bitcoin yield products because investors can assess issuer credit risk and collateral/liquidation mechanics.
- Borja contrasts digital credit's visible bond-like structure with opaque hedge-fund or rehypothecation strategies that failed in 2022.