Topic: Can I take a loan to invest in bitcoin? - page 25. (Read 4169 times)

Borrowing money to invest in bitcoin is not something special. I know a few people who have implemented this idea. As a result of these investment processes, some people made some money and conversely some lost money, some invested in bitcoin, and the rest became debtors when investing in luna. .. The lesson learned is in the states of always deciding for yourself. Only bitcoin can come back, some altcoins won't )

It is a survival bias: probably you succeeded in this, but it is still not a role model for majority. Some can be successful in betting for years and then lose everything in an unlucky line of bets. Most others would lose everything much earlier. And just maybe some total minority will stay in the black. You can decide for yourself if a risk is reasonable but advising someone else in a risky situation is not what we can afford.

We know people expect huge return if they invest on bitcoin but you shouldn't forget about how risky this decision you take since to many things might happen and we know how unpredictable the market is. Maybe the best thing you do is to invest first the amount you can afford to lose for sure with this you will not get hurt so much also you didn't get any more problem due to the possible interest of your planned loan. If you are pressured about the pumps happening then take it easy then breath out focus on things you own so that you will get the best result.

My advice is better not to do it, not because we don't fully trust cryptocurrencies but it is too risky in my opinion if we take a loan just to invest or trade, aniway it is difficult for us to analyze the market as well as possible and even if we have done a thorough and detailed analysis but the possibility of loss can still occur, it's better for us to use cold money to invest, are not only thoughts due to loss or loss of money but also we must be prepared to be billed by the lender and of course this will cause a bit of a commotion if we are unable to pay off the loan.

There is something about me that I don't get, whenever I borrow money or take a loan for something it always end up being a waste of time, when I discussed this with my parents they told me they noticed the same thing about themselves, things works better for me when I use my own hard earned money to invest or start a business, I don't know if this has something to do with the spiritual side of human or it's just luck. This is why I don't borrow or take loan for anything.

My advice will be the following.

If someone wants to take a loan: 1) first - why are you asking someone for permission, as people who think about taking it have already decided to do it long time ago; 2) take the amount you think you will be able to repay. Why do people wants to take a huge risk (taking a loan) to buy Bitcoin instead of buying altcoins. With altcoins it is possible to earn more. So if you are involved in a risky deal, why not   make profit maximum? Why settle for less?

Anyway, it will be a very valuable life lesson, experience. Everyone should try obtain such knowledge by themselves.

This is a topic that has been discussed o this forum a lot of times, though I don't think its bad to bring the matter up again as a reminder to those who must have read a topic as this before, and also as an enlightener to those that are new on this forum and probably haven't come across something like this before.

The idea of borrowing to buy or invest in bitcoin is not bad if you ask me, but the important thing is that such individual must have a backup plan, just incase the price of bitcoin does not perform as expected, the individual can fall back to his or her backup plan to repay the loan when its due, and another important thing is that the backup plan must be trusted enough not to fail no matter the condition..
This is something i have done before so I am saying this from experience, i have borrowed money before to invest in a coin, and later on, the coin did not perform as i expected, I had a backup plan and through that backup plan, i was able to settle the loan without problems or harassments when it was due ..
So any body borrowing to invest in bitcoin or any other crypto coin or token should make sure they have a backup plan, don't borrow and invest without a plan to back yourself up just incase things don't turn out the way you expect it to at the time you expected it.

You have given the best advice so far and let he who has ears listen.
It is generally not right or advisable to borrow money to invest in Bitcoin or any other cryptocurrency because over the years, there have been cases of people who borrowed money to invest in Bitcoin and ended up messing their lives as a result of the high volatility associated with cryptocurrency. Please since the person is your friend, rather than verbally giving out your advice, I would advice that you also take it into action and ensure that your friend doesn't go against your advice of not borrowing to invest in Bitcoin.

I have taken out FIAT loans in the past and bought Bitcoin, not just Crypto, Bitcoin only!

The first loan is paid off and about 4 months left to pay off the second.

I was able to buy Bitcoin with those loans before the last halving, timing was perfect and
is important, there isn't any point doing this after the halving.

The important thing like with any loan, make sure you are not over stretching your weekly / monthly
budgets or you just won't be able to repay that loan.

IMO best time to get that loan is now, and the usual actions apply after that HODL,
don't succumb to FUD and don't panic. Long term Bitcoin is only going one direction.

This is a very subjective topic and there has been many topics that has been created regarding this one, but I only have one answer to all of it.
You can get a loan just to invest into Bitcoin. There is nothing that will prevent you from doing it. On the other hand, you have many factors to consider whenever you want to get a loan just to buy Bitcoin.

Questions like: "Are you aware of the volatility of Bitcoin and you might lose your money in the process?" or "Do you have a consistent cash flow or a job so that you can pay the loan on a monthly basis?" These are just 2 questions.

I tried this one already, but I didn't invested it into crypto. I borrowed a small amount of money and invested it into stock market though I can still choose crypto at that time but I opted to go to a safer asset which is the stock market. I have a monthly income and a portion of that will be used to pay my loan monthly. Currently, I'm still paying that loan of mine and I don't have problem with it since I can pay it monthly. On the other hand, I'm also happy that I bought that stock at a cheap price and now I have positive returns already.

Your friend has it backwards, an investment can be made when you have a surplus of cash around which you are willing to risk in order to obtain further benefits for yourself.

If your friend needs to borrow money to invest in bitcoin then I can assume they do not have a surplus of money and at best they are spending all their money already, so your friend should forget about investing and concentrate themselves on increasing their income, reducing their expenses or both before investing on any market.

Well, it's your choice, because many investors has experienced a lot of challenges from the loan they collected to invested in Bitcoin hoping before the end of the month or year they will make a huge amount of money to pay back the loan. But they ended up experiencing bearish market through out the year that made them to ended up their life in prison, because they think Bitcoin investment is like other investment you can invest today and have the full confident of making big money from it tomorrow. You can start Bitcoin investment with the little capital you have, I believe it will help you to become a great investor in future.

There were already a lot of questions regarding loans and investments in this board. You can actually use the search button to find these. 

Well, the loan will basically worthy if you wanna try to enter the market during the sharpest dip. I'd personally pick Bitcoin over any alts in the market, especially with a loan, I need to make sure that it's worth it and I'm not gonna take an even higher risks with any of these alts. You can take advantage of the dip buy buying more fractions, but you'll have to remember, that before you take the loan you should be capable of paying it's monthly amortization without depending on the profit from your investment. You should pay it from your own pocket.

Loans for investment into cryptocurrency is similar to spending on gambling. Because we make a prediction, if the outcome is correct we'll be the winner. But, unexpected results mostly eat the users money. This is the reality of the market, and according to the above suggestion having patience will reward.

Its not bad to take up some loan as long you are pretty aware on the things that you are dealing with.Its good that you had pointed out about the volatileness of this market which is something that you couldnt

really that rely if you are really that depending on the profit that you would be making out.If you do have other sources of income which could be able to patch it up or simply you could really make out

those paying without relying into your crypto investment then go ahead.The main issue here is that you should really be that  responsible on repaying the loan because if not
then you are really that digging up yourself into your own debt pit.

Well, borrowing money to make an investment is really risky. The only type of loan which pays off is a loan to invest in expanding your business. All other loans actually do more harm than good. But... Bitcoin is very special. It's known to follow a 4 year cycles and we're currently very close to the bottom of this cycle. So you have a decent chance Bitcoin will keep going up for the next 2-3 years and you're likely to earn some money. Anyway, it's not a financial advise, everything is up to you.  

Taking a loan for such a reason as investing it in Bitcoin is one way to own crypto asset, but as said, it would better pay off if it is for long term investment purpose.

Also, unless one does have the link/knowledge of how to take out such a loan, have the means to pay back in response to a mishap affecting returns on investment, I wouldn't advise such a strategy. It might look promising, but a careful consideration by weighing your options might just save you a lot of headache mostly in these time of inflation and market fluctuations.
 It looks like robbing Peter to pay Paul after all.

Why not? But the first thing to do is to assess ourselves if we can really repay the debt if we have without relying on our investment profit. If we can, then there is no problem with that.

Because some people are too crazy taking loans without any backup sources of income. Bitcoin investment is profitable but we can't assure that every time we can have it knowing the market price is moving up and down. We must have to look for another sources that could help to pay for our loan otherwise, don't do it.

Taking loan to invest into cryptocurrency is high risk, but it is good when you have the same loan amount for investment with you to handle the situation if the market weren't the same as predicted. When we take a loan we never think of the repayment, interest, handling charges and other miscellaneous charges. If we consider all these, then surely we won't go for loan.

This has been talked about a lot, not just this topic but this has been a discussion in some form or another for decades. There were discussions about getting a loan to pay for other investments as well, even 20-30 years ago people did this with stocks as well thinking they would profit. It's the same as mortgage, if you buy a house for investment, and pay the mortgages for that out of your pay check, that means there is a chance you could take a loan for any investment.

But, one thing to remember is being capable of paying the loan if bitcoin doesn't profit you, so you should not be expecting bitcoin that you buy with that loan to help you with payments, if you can handle that, then it's fine.