I personally think the best option is that rather than taxing all unrealized gains, treat using them as collateral as as much a realization event as cashing them out. Would cut this loophole out of the equation.
Normal unrealized gains are hard to put a real value on. Unrealized gains used as collateral just had you and a bank agreeing that there's something real and dependable there.
Normal unrealized gains are hard to put a real value on. Unrealized gains used as collateral just had you and a bank agreeing that there's something real and dependable there.