>>ipnon+q51
There is always some fluctuation in the market, and it is impossible to tell if after hitting .99 it will go back to 1.0 or drop to 0. Sure, you mitigate risk of the asset going to 0 with this strategy, but at the same time you bleed 1% of your investment every time the market has a small shock that brings it below 0.99
So what about 0.98 then, or any arbitrary value between 1 and 0? The lower you go, the lower the chance it will bounce back to 1, but the higher your loss if it does. Ultimately it all balances out and each of these bets is just another gamble with no outsized return.