If you borrow dollars to buy & eat food, and you **don't** use the resulting metabolic energy to produce a repayment, the contract fails. If strike decides they're done, the contract fails. People borrow dollars for far less productive reasons than gaining metabolic energy. It's risky, plain & simple. Work hard enough for your household & stack sats. No banks & no contracts necessary, aside from your employer/customers.

It's a collateral-backed loan, like a non-recourse mortgage or a pawn shop. But it's a volatile asset, so they might have to margin-call you, or they could go bankrupt holding your debt note. That's actually a big risk, on their part, especially going into a worldwide recession, which explains the high interest rate. I think this is the correct page. https://strike.me/faq/what-are-bitcoin-backed-loans/