People’s Reserve is building a future where debt empowers rather than enslaves. Traditional financial products are plagued by inefficiencies and excessive credit, which often lead to unsustainable bubbles.
The goal is to transform how “We The People” view debt and equity. At its core, People’s Reserve seeks to empower individuals by leveraging the most pristine form of collateral humanity has ever known: Bitcoin.
Carl Joseph Konstantinos (CJK), the founder of People’s Reserve, envisions a world where leveraging bitcoin doesn’t mean having to part with it.
Instead, it becomes a powerful financial instrument that lets you maintain your bitcoin holdings while still accessing the liquidity needed for major life investments, such as buying a home.
The Mortgage Paradigm Shift: Self-Repaying Mortgages
Imagine a world where, instead of being burdened by mortgage payments for decades, you could pay off your home early by simply making the responsible choice to save in bitcoin.
In traditional finance, mortgage borrowers often pay substantial interest, enriching banks that create money out of thin air or borrow it from their depositors. With People’s Reserve’s Self-Repaying Mortgage, this dynamic is reversed.
How It Works
- You post bitcoin as collateral, reducing the lender’s risk and, consequently, lowering your interest rate.
- If the price of bitcoin appreciates (which has historically happened over time), you have several options: retain your collateral and benefit from even lower interest rates, or use a portion of your appreciated bitcoin to pay off your mortgage early.
- If the price of bitcoin declines, your interest rate adjusts to reflect the increased risk. However, you are never forced to sell your bitcoin. People’s Reserve offers mechanisms to protect you, such as the option to post more collateral or to allow your interest rate to increase temporarily.
In scenarios where bitcoin’s value soars, mortgage holders could realistically find themselves in a situation akin to “The Big Short,” but reversed.
Instead of homeowners losing their properties, they could end up owning them outright years earlier than anticipated, turning the tables on the traditional banking industry.
From Debt Slavery to Financial Freedom
Today’s financial system is designed to keep people perpetually indebted, benefiting large institutions that manipulate interest rates and siphon wealth through inflation.
In a Keynesian central bank system, easy credit encourages borrowing, as the debtor benefits from artificially low interest rates. This setup fuels consumption and debt accumulation rather than promoting saving and financial responsibility.
Governments, being the largest borrowers, have no incentive to encourage saving; instead, they perpetuate a cycle that undermines both individual financial freedom and savers.
Bitcoin fundamentally changes this equation. Its scarcity and independence from centralized manipulation make it the ultimate asset for responsible savers.
People’s Reserve is seizing this opportunity to develop debt instruments that genuinely benefit both the creditor and borrower. The Self-Repaying Mortgage isn’t just an incremental improvement — it’s a revolutionary concept that redefines how debt works, putting financial freedom within reach.
Related: Becoming Economic Independent in the Age of Fiat
Bitcoin Bonds: Principal-Protected Financial Innovation
Another groundbreaking product from People’s Reserve is the Bitcoin Bond, a principal-protected debt instrument that could reshape the fixed-income landscape.
In simple terms, it’s a bond that leverages the upside potential of bitcoin without exposing lenders to downside risk.
This is how Bitcoin Bonds work:
- A portion of the bond’s capital is invested in traditional low-risk assets, like municipal bonds, ensuring principal protection.
- The remainder is invested in bitcoin. If bitcoin’s value increases, the yield on the bond increases significantly, offering lenders a potentially high return.
- If bitcoin’s value decreases or stays the same, the principal is still protected, and lenders earn a nominal yield, similar to traditional government bonds.
Bitcoin Bonds could transform the insurance industry, recapitalize Social Security, and provide municipalities with unprecedented access to liquidity. The implications for infrastructure financing, pension funds, and even government debt management are profound.
Nation-State Game Theory and Bitcoin-Backed Finance
The significance of Bitcoin’s adoption by institutions and governments cannot be overstated. With the United States already holding a substantial amount of bitcoin, nation-state game theory is rapidly coming into play.
What sets bitcoin apart from traditional assets like equities and debt is its unique reflexivity. Rising stock prices often deter investors who begin to view them as overvalued, while mounting debt levels typically burden borrowers, creating financial strain.
In contrast, bitcoin’s price appreciation fosters greater confidence in its future success, driving even more demand and reinforcing its value — a dynamic that holds profound implications for the global financial landscape.
CJK and his team are focused on helping ‘We The People’, nation-states, and corporations leverage bitcoin-backed financial products that they believe will replace the negative-yielding debt instruments that currently dominate global markets.
By offering a real, positive return through Bitcoin Bonds, People’s Reserve can provide a lifeline to financial institutions and governments that are struggling to keep pace with inflation.
Empowering the People, One Mortgage at a Time
At People’s Reserve, the mission is clear: empower individuals while building financial tools that can scale to transform entire economies. CJK and his team are innovating at a foundational level, leveraging bitcoin as a form of engineered money that promises real, positive returns.
This dual mission means helping homeowners break free from the burdens of unsustainable debt with self-repaying mortgages while also providing lifelines to institutions and governments through Bitcoin Bonds.
These bonds offer a path out of negative-yielding debt, unlocking new streams of liquidity and investment potential.
CJK passionately emphasizes that People’s Reserve is not just a company but a movement — a “market maker for We the People,” delivering value and empowering communities.
As Bitcoin adoption accelerates, People’s Reserve stands poised to lead the charge in lending, transforming financial systems and elevating the quality of life for individuals worldwide looking to borrow some money.
A Future Worth Building
This financial revolution is not without its challenges, from regulatory hurdles to educating the public about bitcoin’s true value as a pristine collateral asset.
However, with a new administration more open to Bitcoin, the path forward is clearer than ever. The ultimate goal? A world where financial systems are transparent, fair, and empowering.
People’s Reserve aims to build a financial future where debt no longer enslaves but liberates. If CJK and his team’s vision comes to life, Bitcoin-backed debt instruments like Self-Repaying Mortgages and Bitcoin Bonds could very well redefine finance for generations to come.
