Topic: Maybe good time to loan money to invest in crypto - page 5. (Read 728 times)

You know what am not  really the type that will encourage you to borrow money to invest in Cryptocurrency but even if you are thinking of taking a loan and you want to invest make sure you invest in only bitcoin because other altcoins can't be trusted. If you are investing your own money you can definitely invest in other altcoins but if you are taking a loan I will only advise you to invest in bitcoin, but just a suggestion.

One of the most important or main considerations whenever you do decide to take a loan is that minding if you do able to pay monthly interest or dues?

If you would able to find yourself to be able to do it without problems then taking a loan wont really be that a bad idea since you know that you could

really expand yourself when it comes to your portfolio or simply could diversify off with other investment which you do know could potentially bring
more income.Its a matter of gamble on any angle if you do ask me.

You just have to remember that growing your portfolio with the loan needs a recurring income. So lets assume that you took out a loan of 10k, and you need to pay 1k per month for one full year, I am sure 20% interest rates must be valid in some nations or some cases, I know normally it is less but just stick with the example. That means you need to make more than 1k per month with that 10k investment in order to pay it back. The main problem with crypto is that it could turn your 10k into 20k in a single week, it could drop it to 5k in a single day.

So, you may not always be in profit and you may not always be able to sell to cover that fee. It doesn't have a recurring fee that is higher than the interest rate. You could maybe check all those USDT stuff where they pay as much as 10% a year and if your loan rate is lower than you could pay that back, but even in that case you are taking money out to pay hence lowering your return and can't pay it back.

I don't also get loans but I've got a relative who's making good use of their loans because they have a business and it's very sustainable since they've got a growing business.

It's a different thing in this matter.

By holding bitcoin after purchase, that person who took a loan has to repay actively and if he's just passive holding it and don't have any other means of paying it, he might just ending up giving himself a burden.

Yes, we have many time's discussion like this in past and too many threads related to this subject because mostly good business mind peoples never advice about this it's never been good idea to have loan and invest into crypto market it's unpredictable, and its nature is volatile which can ruin your life with anytime. I already have too many examples about these type investments and mostly peoples end their lives because they were unable to pay back their loan, and they have no other choice, so please never do this mistake it never works.

Borrowing or loaning funds just to invest in a crypto is a risky thing. There's no guarantee that you could pay your debt in time if you'll rely things in cryptocurrency. Keep in mind that cryptocurrency's volatility is too high and its movement isn't constant. You better save enough funds that you could allocate for your investment but don't borrow so you'll have something to invest because you might only regret it in the end.

If you think like that, just go ahead but I suggest you not do that because we do not know what will happen to crypto next year. Besides that, if you can pay the loan, you are free to do that but I hope you can think about the risk you should face later. Many people think shortly about borrowing from others or banks but do not remember that crypto is a high-risk investment and the price has high volatility. Some people can get rich from crypto, but others can be poor quickly.

Now is a good opportunity to make a profit by borrowing or selling assets to buy cryptocurrencies, the market is very stable and continues to move positively, if the world's millionaires want to invest in cryptocurrencies then surely this is the most profitable type.

This is not a piece of good financial advice. I know that we all want to buy the dip and eventually sell and make a profit when the ATH happens, but borrowing or loaning money just to invest is a no-no. The golden rule in crypto should always be remembered by everyone here which is to only invest what you can afford to lose. You should not invest money that is not even yours, most especially if you know it to yourself that you can't pay that amount back once shit happens. Let's all be reminded that crypto is volatile and it won't always be in ur favor. Let's not just follow the hype and instead study what we are getting ourselves into to avoid regret.

I have seen so many confessions about borrowing/loaning money and ending up being bankrupt and even buried deeper on their debts just because they decided to invest it without proper knowledge. What you stated is really possible to happen, however, one must know how the crypto market moves first. If they will loan money and invest it now that we're still in ATL and happened to invest it in the wrong coin/s, they will surely be dumbfounded.

It's really good to invest in crypto. I know many people that achieved their financial freedom through cryptocurrency. But always just invest your spare money. Not the money you are using on your daily expenses and most especially not that money that you intend to borrow as the risk is always high in crypto. We should only risk the money we can accept to let go.

I thinks may be its a good time to invest as we are in deep now but still we don't know how dip it can go .There is no sign that market are recovering just falling so don't wanna suggest to enter right now and i think we will find our self right time to enter .
Don't do a risky work work where you are not really sure that you will get a sure return .You may loose your everything .So think before doing this again.
How you become so sure that it can really go so far .I think it could take more time to reach the level still we are on deep now so its need more time to go this level .
Its true that upcoming trend are meta verse and the good project always gain a huge profit .I think it can give you a good return and help you to give back the due loan if you badly do this .
I really don't know it where you have found the news any source mate ?However i am still confused right now after watching a huge deep .I think it will recover soon and take a momentum to go through .

I think this was discussed many times in this forum. Why would I loan just to invest in crypto only to find out that it doesn't have astronomical guaranteed returns? And what if the market crashes down to Earth? It'll be hard for me to pay the loan back unless I have a decent collateral in exchange.

That's right, it's not the right decision, other than that doing it will only add to the burden so I don't think borrowing money to invest in crypto is not the top choice,
remember that crypto is very risky so there will always be the possibility of us experiencing losses

Right. I won't suggest to anyone to take loans for crypto investment as its a very bad decision that you will surely regret in the long run. Remember that the crypto market is very much volatile and even unpredictable so you can't guarantee yourself that you will be profitable after investing. Better invest with your own extra money that you are willing to lose than to borrow money to invest because once you cannot make profits in your target time, then that will make you miserable looking where to pay the loan amount. If that happens, you will be force to sell your coins in a low price and end up losing all your money, time and efforts.

I do agree that loaning money to invest solely on crypto is not a great idea. Loans need to be paid on the contract signed. When you invest in crypto, you won't have that assurance that you'll accumulate enough to repay the loan itself.
Crypto may be profitable but unless you take more risk to accumulate more, you would have to wait for the long run by just holding.

DWYOR.
In the crypto world, prices always go up and down quickly. crypto has high fluctuations, especially bitcoin.
however, the price movement of bitcoin so far is only speculation. yes, the development is very fast, and the price is likely to be high even up to $100k or more.
What you need to know before borrowing money is, the risk of this. maybe the price of bitcoin can reach $100k, but what if it's not in the near future, while the money you borrow needs to be returned, monthly, or when the time comes. and how do you deal with this when the bitcoin price has not pumped, or has even fallen deeper. well, all things need to be considered, however you will get a big profit if your strategy is successful. however, the risk is also very big for that. what's more, the current bitcoin price is quite expensive.

The market is very unstable at the moment so we might expect that the price decline will still go on. And with this, crypto coins are definitely in bargain right now but this is not a good reason that we should take loans to invest so we can maximize buying coins. This is a very risky decision since we don't have assurance that the market will be good in the next few days or months. We can still invest with a little money we have that we can afford to lose. Once the profits will keep on adding, eventually we can afford to invest a bigger amount by then.

However, with taking loans, this will make the investor resort into panic selling and end up losing the borrowed capital once the the market does not recover.

That is not recommended for people doing that without having a way how to pay the loan and will have a big riskier to them. Although our investment is not too big, if we can constantly invest periodically, I think our investment will be bigger someday and when we can make a profit, our profit will also be bigger. The crypto will be like this, whether we like or not, and if we can prepare for the worst thing, we will be okay and will have a way or solution from the worst thing.

bitcoins is the the digital gold and it will be valued more than anything put $10 or $100 on it. see what happens lol.
dont never ask to borrow money from a friend or family member to invest in crypto, you are going to get a huge problem.

Borrowing money to invest is the wrong way to make a risky investment. You must invest or trade within the range of funds you can afford.
The crypto market is unstable and the price is unpredictable, and there is no guarantee that you will always profit from it. The downward trend in the price is easy to sell because of panic, which may bear double economic losses.

I don't think it's a good idea to loan money to invest in crytocurrency much better to invest with your own money because it involves a lot of risk you can either make money or lose money also don't forget to invest only what you can afford to loose for better protection of your funds.