Overview

How to Never Sell Your Bitcoin

Introducing Diamond Hands

Diamond Hands is a revolutionary native Bitcoin DeFi product designed for HODLers - the kind of investor who understands time in the market beats timing the market - the enthusiast who never wants to sell their Bitcoin.

With Diamond Hands, you can now collateralise your Bitcoin directly - natively - without ever needing to sell it, wrap it, bridge it, or expose it to third-party custodians. With Diamond Hands, that means:

• No taxable events

• No crystallisation

• Zero trust in third parties and potential bad actors.

Instead of “taking profit” Diamond Hands allows you to draw liquidity from your Bitcoin and retain ownership of the ultimate bearer asset. This “credit line” allows you to unlock lifestyle liquidity by borrowing against your collateral and mint our Bitcoin-backed stablecoin - ”UCD”: the Ultimate Collateral Dollar - at market leading single-digit interest rates.

This is decentralised debt done right: overcollateralised, permissionless, and self sovereign. You keep control of your keys, your coins, and your future.

Why Diamond Hands?

Built on the GVNR General Message Passing framework, Diamond Hands embodies the core principles of Bitcoin and crypto that many have abandoned: “You don’t trust, you verify” and “Not your keys, not your coins.”

• No rehypothecation

• No CeFi risk

• No hidden counterparty exposure

• Just pure, on-chain, verifiable governance - by YOU

Unlike centralised lenders or over-engineered synthetic workarounds, Diamond Hands is simple, sound, and secure. You deposit native Bitcoin. You mint UCD. Simple.

You retain self-sovereignty while accessing real-world purchasing power, all without ever needing to exit your Bitcoin position and exposing yourself to unfavourable taxable events. Why sell Bitcoin when you don’t need to?

Whether you’re a long-term HODLer or a capital-efficient Bitcoiner seeking liquidity, Diamond Hands is the tool you’ve been waiting for. Powered by GVNR, it’s not just a product—it’s a movement. Because real GVNRs don’t sell Bitcoin. They collateralise it.

Diamond Hands: Because selling is for tourists.

Key Concepts

• Deposit Collateral: Your Bitcoin (BTC)

• Loan Currency: Stablecoin - UCD (erc20) - BTC backed and over collateralise

• Max Loan-to-Value (LTV): 66% - deposit $100,000 in BTC and borrow up to $66,000 within minutes

• Minimum Collateral Ratio (CR): This is inverse of LTV - 150%

What is Collateral Ratio?

The collateral ratio (CR) is the value of your BTC divided by the value of the liquidity you draw. For example, if you deposit $15,000 worth of BTC and borrow $10,000 in UCD, your (CR) is 150%.

Diamond Hands enforces a minimum collateral ratio of 150% to protect against market volatility. If your CR falls below this - due to a drop in BTC price - you risk liquidation on your collateral position.

Maintaining a CR well above 150% gives you a safety buffer. You can increase your CR by adding more Bitcoin or repaying part of the loan. The protocol uses oracles from Flask to monitor Bitcoin prices in real time, so staying above the threshold is crucial to avoid forced liquidation and protect your Bitcoin. Always practice safe risk management.

What is Liquidation Ratio?

On Diamond Hands, the liquidation ratio (LR) is the threshold at which your position becomes at risk of immediate liquidation. It is initially set at 110%, meaning if your CR drops below 110%, the protocol will liquidate your Bitcoin to repay the position.

As your loan passes maturity, the liquidation ratio doesn’t stay fixed—it rises exponentially. To maintain a healthy collateral ratio, you are encouraged to either extend your loan, repay the loan or add more Bitcoin collateral to improve the position.

If the loan does reach maturity and the rising LR ever catches up to your CR, liquidation is triggered immediately, and your Bitcoin collateral deposit will be redeemed by the protocol to cover the short fall.

This system incentivises responsible debt management and timely repayment. To avoid liquidation, borrowers must monitor both their CR and the growing liquidation threshold as the loan passes expiration.

NOTE: Staying well above 150% CR is key to keeping a healthy loan.