Would you borrow in cryptocurrency? - page 29.

funchiestz

sr. member

Activity: 1134

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Quote from: maxitdev on April 07, 2019, 08:53:42 AM

I am interested in opinions about borrowing in cryptocurrency.
If a cryptocurrency will have low price volatility, then would you borrow in that token?

If not please tell why?

This is a little dangerous. For both the lender and the borrower. As we all know cryptocurrencies, the price volatility is very high. This makes the debt relationship risky.

maxitdev

newbie

Activity: 42

Merit: 0

Blockchain technology can handle the risk of not paying, also cryptocurrency can be designed to have low price volatility.
Read this white paper:
https://www.maxicreditcompany.com/whitepaper.pdf

I think bitcoin or ether is now not good for borrowing but stable coins or cryptocurrency designed to have low price volatility are good enough.

kaya11

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Yes or no It depends, if that token is worth borrowing. If you say borrowing Bitcoin or any other alts that are already worth to borrow then yes I just don't have the collateral to use, well it will be a loan, and so much troubles to go through just to borrow it from someone you don't know and vice versa. So it would be a lot strict than any other borrowing that is used normally. Also there would be interests, we are not only talking about borrowing here, because we are in a world of transacting with we know there is give and take.

Ailmand

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Quote from: maxitdev on April 07, 2019, 08:53:42 AM

I am interested in opinions about borrowing in cryptocurrency.
If a cryptocurrency will have low price volatility, then would you borrow in that token?

If not please tell why?

I would prefer to borrow cash rather than cryptocurrency if necessary. We all know that cash isn't changing and is stable so I think borrowing it would bring us a lesser risk. Borrowing cryptocurrency is risky because its value is volatile and we might pay higher interest if the prices strike high.

maxitdev

newbie

Activity: 42

Merit: 0

But what is the price volatility can be eliminated?
Check our concept:
https://www.maxicreditcompany.com/whitepaper.pdf
We tried to answer any question about how can work a crypto-based lending system

Johnzky

member

Activity: 616

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Quote from: maxitdev on April 07, 2019, 08:53:42 AM

I am interested in opinions about borrowing in cryptocurrency.
If a cryptocurrency will have low price volatility, then would you borrow in that token?

If not please tell why?

NO im not,because volatility of cryptocurrency or tokens will only brings huge interest and instead of borrowing crypto,I would rather borrow fiat or physical money and buy crypto so i only need to pay interest in given percentages

diamond_shine1

full member

Activity: 437

Merit: 103

my advice is don't borrow crypto because the market has high volatility. so if you receive 1 BTC at a price of $ 5000 and then 1 month will come the price goes up to $ 10k you will experience a big loss

ultrloa

legendary

Activity: 2758

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If you are planning to borrow a cryptocurrency well you should consider the volatility since if the time comes when the alt you borrow is cheap goes soar up for more then a chances for you to get loss since you will pay huge on its natural value where you lend cheap. So I suggest upon doing this is to go offline since the interest will be cheap and you can make sure that the borrowed money will not stretch.

madrogue

member

Activity: 98

Merit: 15

I don't interesting to borrowing like a cryptocurrency. This is just like you borrowing a Money and most of people who will send you, they always need bonus to make their profit.

rijaljun

sr. member

Activity: 1274

Merit: 267

I'll borrow when i need, not depends on the currency. It will be cool to use crypto as credit when the volatility is low but until today crypto is high volatile and the risk is too high for debitor and also it's not really good for now because the value still depends on currency like USD, GBP, etc.

Tipstar

sr. member

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The volatility is a great problem for crypto borrowing. Many P2P sites went out of business after some time when they failed to maintain their standard.
Bitbond is now the only trusted P2P bitcoin lending site which is also moving towards stable coins.
Newer platforms like Celsius and NEXO are too advocating for stable coins as it would be much more satisfying to both lenders and borrowers.

Mcmich

member

Activity: 280

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Borrowing is not something I can do or encourage anyone to do, not when it comes to cryptocurrency. When you talk of borrowing, there has to be a lender, and how certain is the lender that he will get a pay back of the borrowed coin. I sometime heard of a platform that lends coins but I didn't quite understand the concept, may be cos I wasn't interested in the borrowing stuff.

Mahanton

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Quote from: maxitdev on April 07, 2019, 08:53:42 AM

I am interested in opinions about borrowing in cryptocurrency.
If a cryptocurrency will have low price volatility, then would you borrow in that token?

If not please tell why?

As a borrower you would really tend to borrow up tokens/crypto that is mostly on the top rank yet we do see the volumes of it.BTC ETH and other top coins might do but
for the rest then i dont think someone would really be interested.

As a lendor then you will always target out profitable coins for you rather than choosing low price tokens.

bassbity

sr. member

Activity: 1092

Merit: 284

I have never borrowed anything in coin cryptocurreycy or tokens, to be honest I would not borrow anything at a low cost.

maxitdev

newbie

Activity: 42

Merit: 0

I am interested in opinions about borrowing in cryptocurrency.
If a cryptocurrency will have low price volatility, then would you borrow in that token?

If not please tell why?

Topic: Would you borrow in cryptocurrency? - page 29. (Read 42431 times)