Taking a loan to buy Bitcoin? - page 7.

Golftech

hero member

Activity: 2128

Merit: 520

Quote from: Inkdatar on February 18, 2021, 11:39:26 AM

Quote from: ?? on ??

Bad decision if we have to borrow to buy bitcoin, I remember being in that position very well. doubling valuables to buy bitcoin in trading on Futures. but there I suffered no loss 3 days after borrowing. It becomes the point where I have to be really careful about making a loan for investment. Moreover, the risk in trading or investing in bitcoin is quite high. it is something that must be considered beforehand

Some people trying taking loan to buy bitcoin just to earn profit or to cover loss of money. The more you borrow the more you can lose money. Also the interest costs of the loan makes it harder to pay once a person cannot afford to return the money. So there is a huge risks by doing this just to invest so before taking loans think twice.

Risk is high if you'll going to use your barrowed money from something that you are not really good at,
if you are doing this because you think that Bitcoin is really mooning and you are capable of riding from
it, remember that this high volatile asset can easily burned your investment, you need to be very careful
before deciding to loan any amount for the sake of your Bitcoin investment.

Inkdatar

hero member

Activity: 1582

Merit: 523

Quote from: ?? on ??

Bad decision if we have to borrow to buy bitcoin, I remember being in that position very well. doubling valuables to buy bitcoin in trading on Futures. but there I suffered no loss 3 days after borrowing. It becomes the point where I have to be really careful about making a loan for investment. Moreover, the risk in trading or investing in bitcoin is quite high. it is something that must be considered beforehand

Some people trying taking loan to buy bitcoin just to earn profit or to cover loss of money. The more you borrow the more you can lose money. Also the interest costs of the loan makes it harder to pay once a person cannot afford to return the money. So there is a huge risks by doing this just to invest so before taking loans think twice.

darewaller

hero member

Activity: 2968

Merit: 640

Quote from: Findingnemo on February 16, 2021, 07:28:11 AM

To be a successful investor, avoiding FOMO is very important which means you never take loans to make investments because cryptos are not giving dividends then how you are going to pay the interest rates? What if your investment become total failure. Shocked

On the contrary, I believe if people are doing margin trading or futures then they are already taking bigger risks because taking 3x leverage means your portfolio will be emptied if the price falls by 33% and considering the volatility of the crypto market it can actually happen within days or even a single night.

I always think that better than taking money on leverage and risk losing everything, it is better to take loans in real life and pay yearly interest because it gives you much more time and the assets/coins you buy are going to be yours 100% without any risk of marketing being down or up.

Consider this as an example:

Trader 1: A trader bought Bitcoins at 8k last year February and he took only 2x leverage, in march as the price dropped below 4k he lost everything he hold.

Trader 2: Another trader took a loan of 8k and bought bitcoins with it, market went ballistic and as low as 3k but he lost nothing and somehow market recovered and now an year later he turned his 8k into 45k now.

So, it might not be the worst idea to take loans for buying Bitcoins, given you have back up plan and good strategy.

Mahanton

hero member

Activity: 2730

Merit: 632

Quote from: taufik123 on February 17, 2021, 11:26:09 AM

Quote from: FanEagle on February 17, 2021, 03:43:03 AM

Yeah, this has been talked a lot before but doing this at the very wrong part of the run is what gets people really in trouble. Of course you can't know when bitcoin will go up, but you would at least know a time when it hasn't gone up, it has gone down a lot and that is when you should do something like this if you really want to.

For example when the price was 7k at the start of 2020, you did know that when the price crashed to under 4k levels that was very very low, and you could have taken out a loan and sold it when it reached 10k+ prices and you would have paid all your loan debt and you would still have bitcoin left over as well. Personally I wouldn't even suggest to do that, but when it increased from 10k to 50k is that really sounding smart to you to get in NOW and not when it was lower?

no one will know the price will continue to increase or not. but some people who make loans while Bitcoin is still at $ 4k will certainly get many benefits. But some people won't last until now.
There are times when a loan is really good to do and there are also times when a loan should be avoided. The risk of making a loan will still exist and you must be careful with it.

It would really be on that 50% chances on both sides on how things turns out to be on your expectations because neither i can go that way which means this one will varying on
someones risk management if he's ready on taking out the consequences for your loan on not to get paid then you should be aware on that and if it turns out to be positive
then that decision was a good call.Taking a loan isnt bad but you should think or mind all of those things to be considered first before proceeding.
On real talks then taking loan isnt really a good idea at all.

taufik123

legendary

Activity: 2744

Merit: 1878

Rollbit.com | #1 Solana Casino

Quote from: FanEagle on February 17, 2021, 03:43:03 AM

Yeah, this has been talked a lot before but doing this at the very wrong part of the run is what gets people really in trouble. Of course you can't know when bitcoin will go up, but you would at least know a time when it hasn't gone up, it has gone down a lot and that is when you should do something like this if you really want to.

For example when the price was 7k at the start of 2020, you did know that when the price crashed to under 4k levels that was very very low, and you could have taken out a loan and sold it when it reached 10k+ prices and you would have paid all your loan debt and you would still have bitcoin left over as well. Personally I wouldn't even suggest to do that, but when it increased from 10k to 50k is that really sounding smart to you to get in NOW and not when it was lower?

no one will know the price will continue to increase or not. but some people who make loans while Bitcoin is still at $ 4k will certainly get many benefits. But some people won't last until now.
There are times when a loan is really good to do and there are also times when a loan should be avoided. The risk of making a loan will still exist and you must be careful with it.

ven7net

full member

Activity: 1946

Merit: 112

Quote from: elmuchodingdong on February 09, 2021, 07:14:00 AM

I think what we are seeing right now is a rocket that is launching. I want to get on this rocket and I think any minute it could be too late as there is already all kind of heat shooting out of the rocket. It is hard to get on at this time. So I am considering to take out a loan of say 20.000 Euros. It wouldn't kill me if it fails but I don't think it will fail. Even if it crashes it will come back 2 or 3 years later. And yes we might eventually end up seeing prices of $100M per Bitcoin or maybe $1B. I am saying this not so much because I think Bitcoin is a great invention. I am saying it because I think the Euro and the USD are currently collapsing. Now since Elon has gotten on others will get on. And eventually the government can not make Bitcoin illegal anymore because too many people are heavily invested.

Do you think taking out a loan makes any sense? The problem is that right now I can not do it because due to the lockdown my income is too low. I would have to wait for the lockdown to end. Then I can work night and day for a month so that I end up making like $7000 within a single month. With that I will easily get a loan of 20K maybe even 50K who knows?

Do you think it is worth it? This might be a once in a lifetime chance.

I would not recommend that you take out a loan to buy BTC. The fact is that any investment is a risk and investment in BTC is the same risk. And you can only risk that money that you can not lose. Yes, BTC is now showing a super result, its price is growing and will probably grow even more. But this is not the point, the point is that you want to borrow a large amount of money for a long time and there is always the possibility that everything may not go according to plan. Personally, I could not take such a risk, although they say risk is a noble cause. In any case, it's up to you and how you decide it will be. And whatever decision you make, I want to wish you good luck!

Viscore

hero member

Activity: 3178

Merit: 661

Live with peace and enjoy life!

IMO, this is a bad decision, the timing is not good because the market is bullish, the risk is high that the price could dump and that will make the value of the money you loan to dump as well, and you know, when correction comes, it will take time before a bull run will come again but the sad thing is that the amount you borrowed will continue to earn an interest which will increase your borrowed loan.

FanEagle

legendary

Activity: 3066

Merit: 1129

Quote from: taufik123 on February 16, 2021, 10:05:31 AM

bad decisions indeed when you want to invest have to rely on loans. Everyone even says not to take out a loan just to invest in bitcoin. This is because loans invested in bitcoin carry a high risk with the volatile price of bitcoin. price changes will be very fast. The borrower will benefit if the bitcoin price increases, but on the other hand, if the price falls, there will be a loan that you must pay off with some interest that is billed.
Investments should use money that is not needed or free money. don't spend money that will be needed later. that's the wrong way.

Yeah, this has been talked a lot before but doing this at the very wrong part of the run is what gets people really in trouble. Of course you can't know when bitcoin will go up, but you would at least know a time when it hasn't gone up, it has gone down a lot and that is when you should do something like this if you really want to.

For example when the price was 7k at the start of 2020, you did know that when the price crashed to under 4k levels that was very very low, and you could have taken out a loan and sold it when it reached 10k+ prices and you would have paid all your loan debt and you would still have bitcoin left over as well. Personally I wouldn't even suggest to do that, but when it increased from 10k to 50k is that really sounding smart to you to get in NOW and not when it was lower?

taufik123

legendary

Activity: 2744

Merit: 1878

Rollbit.com | #1 Solana Casino

bad decisions indeed when you want to invest have to rely on loans. Everyone even says not to take out a loan just to invest in bitcoin. This is because loans invested in bitcoin carry a high risk with the volatile price of bitcoin. price changes will be very fast. The borrower will benefit if the bitcoin price increases, but on the other hand, if the price falls, there will be a loan that you must pay off with some interest that is billed.
Investments should use money that is not needed or free money. don't spend money that will be needed later. that's the wrong way.

Atek33

jr. member

Activity: 462

Merit: 1

I think it can be a bad decision for you because if you borrow money from somewhere and invest in Bitcoin or buy Bitcoin then when you buy Bitcoin then the price goes down then you can lose a lot of proof. I think that’s why you must I think Bitcoin shouldn’t be in a situation when you don’t have the money

oHnK

hero member

Activity: 1428

Merit: 574

Quote from: justdimin on February 16, 2021, 07:54:16 AM

Taking loans to buy assets like Bitcoin is not a smart thing to do because yes it might yield big profits without doing anything but if by any chance it drops you will be in tatters because you don't just have to pay interest on the money you borrowed you are also losing overall on the money you borrowed. It is rather better to maybe take loans and trade because that at least gives you chance to earn but even then there is a risk, not a fan of taking loans for trading or investing.

Guys keep in mind that Bitcoin has already crossed expectations and might still cross 100k in coming months but if it goes down to something like 25k then don't be surprised because after every big bull run there is often a bear run or at least correction which can make it float around 35-45k if not less.

I just think that people who rush into investment decisions are simply due to hype and even using a loan to invest is just baseless foolishness. Because what is called an investment must go through a lot of considerations in terms of risk and any factors that influence it. The market hypothesis does not guarantee successful investment. Because we are only seen as seasonal investors. And it's very dangerous.

justdimin

hero member

Activity: 3220

Merit: 678

www.Crypto.Games: Multiple coins, multiple games

Taking loans to buy assets like Bitcoin is not a smart thing to do because yes it might yield big profits without doing anything but if by any chance it drops you will be in tatters because you don't just have to pay interest on the money you borrowed you are also losing overall on the money you borrowed. It is rather better to maybe take loans and trade because that at least gives you chance to earn but even then there is a risk, not a fan of taking loans for trading or investing.

Guys keep in mind that Bitcoin has already crossed expectations and might still cross 100k in coming months but if it goes down to something like 25k then don't be surprised because after every big bull run there is often a bear run or at least correction which can make it float around 35-45k if not less.

Noctis Connor

hero member

Activity: 1008

Merit: 540

Quote from: TastyChillySauce00 on February 16, 2021, 03:02:44 AM

Quote from: konflikkastil on February 15, 2021, 05:11:28 AM

~snip

This. Most of people who are taking loan just to buy something that doesn't guarantee them profit always somehow forget that things usually don't go as planned and so did taking loan just to invest into something considered high risk investment although the return could also be high and when things started to go south that kind of people will be the first person who lost the most. The decision itself just nonsensical.

It's true now my friend don't how to pay his debt from his loan his he doesn't have a job at the moment i already told him that loan doesn't help him once he can't make a stable profit from trading when he just invested when those coins are in red chart and i feel so bad for him it's much more better if he done his research and gain more experience and now probably he learned some lesson from his kind of mistake, If i we're them i will not take a risk taking loan just to risk another money without guaranting any roi.

Findingnemo

hero member

Activity: 2366

Merit: 793

Bitcoin = Financial freedom

To be a successful investor, avoiding FOMO is very important which means you never take loans to make investments because cryptos are not giving dividends then how you are going to pay the interest rates? What if your investment become total failure. Shocked

cheezcarls

hero member

Activity: 2282

Merit: 659

Looking for gigs

Nope! That is a complete no-no to me! Why would I ask for a loan in order to buy Bitcoin? This is one of the stupidest purpose we ever had.

Let’s say I borrow $500 in order to buy satoshis. What if the market goes down? How could I repay the lender especially when the due date is near?

If I want to buy Bitcoin by not lending, I would rather sell items that are not useful to me anymore or get some extra gigs, or maybe use a small percentage of my spare funds for that.

It’s not wise to borrow money just to buy Bitcoin. Consider yourself lucky if the market shoots up and immediately return the original amount you borrow.

geegaw

hero member

Activity: 1316

Merit: 502

Quote from: boyptc on February 16, 2021, 03:34:21 AM

Quote from: lienfaye on February 15, 2021, 06:06:06 PM

Its not advisable to invest using a borrowed money. What if something went wrong? (which is possible in crypto since its high volatile) how can you repay your loan? Sure there's a bright future ahead for bitcoin but we cant be certain for how long are we going to wait before we reach an unexpected high price.

And that will give the borrower an interest rate that he/she might not afford to pay if they'll only rely to the profits that the investment through bitcoin they have.

It's really not a good choice and resort for taking loan to invest in bitcoin. But for active businesses, it's a common thing to borrow and let that money used to operate.

I don't think so, you can look at a bank's lending service and evaluate the interest rate on your loans, they have almost calculated carefully from the salary and assets you have, from which, they provide you with the most suitable loan, you will always be able to pay interest every month very easily, the bank and the loan service never force their users to take part in excessive loans, they also fear users fail and their service will lose profits. So, borrowing money to buy bitcoin is still possible, many people always think negatively and feel they might fail but we should look to the future, a more positive, profitable and successful thing.

boyptc

hero member

Activity: 3024

Merit: 680

★Bitvest.io★ Play Plinko or Invest!

Quote from: lienfaye on February 15, 2021, 06:06:06 PM

Its not advisable to invest using a borrowed money. What if something went wrong? (which is possible in crypto since its high volatile) how can you repay your loan? Sure there's a bright future ahead for bitcoin but we cant be certain for how long are we going to wait before we reach an unexpected high price.

And that will give the borrower an interest rate that he/she might not afford to pay if they'll only rely to the profits that the investment through bitcoin they have.

It's really not a good choice and resort for taking loan to invest in bitcoin. But for active businesses, it's a common thing to borrow and let that money used to operate.

TastyChillySauce00

legendary

Activity: 3010

Merit: 1028

Leading Crypto Sports Betting & Casino Platform

Quote from: konflikkastil on February 15, 2021, 05:11:28 AM

~snip

This. Most of people who are taking loan just to buy something that doesn't guarantee them profit always somehow forget that things usually don't go as planned and so did taking loan just to invest into something considered high risk investment although the return could also be high and when things started to go south that kind of people will be the first person who lost the most. The decision itself just nonsensical.

lienfaye

hero member

Activity: 3024

Merit: 629

Its not advisable to invest using a borrowed money. What if something went wrong? (which is possible in crypto since its high volatile) how can you repay your loan? Sure there's a bright future ahead for bitcoin but we cant be certain for how long are we going to wait before we reach an unexpected high price.

Because of the current price many people are willing to take the risk just to buy bitcoin to not miss the opportunity. But as an investor we must know the basic rule when to engage ourselves. Nevertheless this is always depends on each investor thus its up to us.

dunfida

legendary

Activity: 3122

Merit: 1140

Quote from: MCobian on February 15, 2021, 05:43:29 PM

No wonder so many people are getting greedy now to see the price of Bitcoin continue to rise. But not because we want to get big profits, then do
things that are risky. Borrowing money is only for urgent needs, because if we owe mainly to banks, there is an obligation to pay installments.
While the Bitcoin price is very volatile, we have to learn from what happened in 2017. Many people become FOMO and finally decide to buy Bitcoin
with borrowed money. Then what happens is that many people end up having problems after the Bitcoin dump in 2018. So always buy Bitcoin with
the money that we can afford to lose.

Not all would really be entitled to be able to get some loans from banks knowing that you would still need to get approval before in doing so.This is why majority do really
end up on borrowing money to those lendors locally which does have usual 10-20% monthly interest which is really too high to take.If you can risk up then
its up to you but honestly this isnt really worth for the risk because you wouldnt know on how big on profits you would able to make in 1 month time.
If you are much aware of the risk then you can go ahead, just dont forget to repay those loans back on the agreed date.

Topic: Taking a loan to buy Bitcoin? - page 7. (Read 4700 times)