Every legal way to avoid taxes interests me a great deal. Let's say you have 1 BTC. You take out a loan of 50,000 DAI with the BTC as collateral when BTC goes to $400,000. You get margin called long before BTC crashes to $50,000 and you lose, what, $50,000 worth of BTC but keep the rest? And if that happens, you don't have to pay any tax on the fraction of 1 BTC you effectively swapped for DAI (that maintains its value all the way to the BTC bottom)? Which is when you'd buy BTC with the DAI you've got.

Is this correct?