Yes, there is risk involved. In the paragraph Risk Management I wrote about different types of risk involved in this trade. One of them being exposed to third party risk of the chosen platform, meaning you have to send your bitcoin to the exchange and they hold the keys to the wallet. I won't express any opinion about the severity of the risk, that's for people to decide for themselves. I always recommend doing your own research. That said, it's also possible to use USD(t) of Gold (PAXG) as collateral. If #bitcoin really is going the function as the world reserve asset, there is a need to hedge large positions and thus we need trustworthy exchanges that provide those instruments and make that possible. Nothing beats self-custody. But for the investors who want to go further out on the risk curve and trying to get yield on their bitcoin, these or examples of how one could do it. But there are always trade offs and risk involved. No such thing as a free lunch. Thank you for reading my work!