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Title: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: Abiky on March 24, 2016, 02:42:59 AM I have got interested into Poloniex lending lately, and I was wondering what would happen in the case that the burrower could not pay the amount of coins in time? Will I lose them? Sorry for asking, but I tried looking information about this, but haven't got any luck. Any help would be greatly appreciated.
I want to lend some Bitcoins in Poloniex, by the way. :D Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: pooya87 on March 24, 2016, 05:07:29 AM i haven't used the service yet, buy from reading the explanation of how the lending works i can tell you that they are not going to pay you back. the borrower borrows money to trade and if he can't make a profit he will not have enough to pay you back unless he deposits more.
Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: lumeire on March 24, 2016, 10:24:23 AM i haven't used the service yet, buy from reading the explanation of how the lending works i can tell you that they are not going to pay you back. the borrower borrows money to trade and if he can't make a profit he will not have enough to pay you back unless he deposits more. I'm guessing they can't make a trade without first paying their loan. Very well, I'm not really a fan of how PoloniEX handles lending because you don't get to know who you're lending to. Plus I'm assuming there's no collateral of some sort. If you wanna lend as an investment might as well try other platforms too. Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: twister on March 24, 2016, 01:28:46 PM Read this thread, you'll get answers to all your queries: https://bitcointalk.org/index.php?topic=1386692.0
Also, read their FAQ page as it contains many vital information regarding what will they do in an event they feel a borrower might default on a loan. https://poloniex.com/support/aboutMarginTrading/ Quote What Is a Forced Liquidation? A forced liquidation is when all or part of your positions are closed automatically to prevent further loss and ensure you do not default on your loans. Forced liquidations are executed using one or more market orders; as such, order book liquidity at the time of these orders will affect the extent of the losses you incur from the liquidation. Forced liquidations occur when your Current Margin dips below your Maintenance Margin. It is strongly advised that you check the markets and your open positions regularly, mitigating your risk as necessary by reducing the size of your positions or transferring additional collateral into your margin account. Markets can change very quickly, and no guarantee can be made that you will receive a Margin Call warning in time for you to prevent a forced liquidation. Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: Abiky on March 24, 2016, 03:38:23 PM Thanks everyone for your replies.
Read this thread, you'll get answers to all your queries: https://bitcointalk.org/index.php?topic=1386692.0 Also, read their FAQ page as it contains many vital information regarding what will they do in an event they feel a borrower might default on a loan. https://poloniex.com/support/aboutMarginTrading/ Quote What Is a Forced Liquidation? A forced liquidation is when all or part of your positions are closed automatically to prevent further loss and ensure you do not default on your loans. Forced liquidations are executed using one or more market orders; as such, order book liquidity at the time of these orders will affect the extent of the losses you incur from the liquidation. Forced liquidations occur when your Current Margin dips below your Maintenance Margin. It is strongly advised that you check the markets and your open positions regularly, mitigating your risk as necessary by reducing the size of your positions or transferring additional collateral into your margin account. Markets can change very quickly, and no guarantee can be made that you will receive a Margin Call warning in time for you to prevent a forced liquidation. About lending in Poloniex, looks very risky to me but just to be safe I will try lending a small amount first. Thanks for sharing this useful information. :) Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: nuevo on March 24, 2016, 03:44:55 PM I have got interested into Poloniex lending lately, and I was wondering what would happen in the case that the burrower could not pay the amount of coins in time? Will I lose them? Sorry for asking, but I tried looking information about this, but haven't got any luck. Any help would be greatly appreciated. I want to lend some Bitcoins in Poloniex, by the way. :D I do lend on Poloniex and I've done well for myself doing so. I want you to do your own independent research, calculations, and risk analysis but I've found it to be lucrative. No you won't get rich overnight but you are provided a service to margin traders. I've never had someone not payback a loan and whatever Poloniex is doing works for me. I will let you know that loan rates can change wildly with the market and that the more people lending BTC the less you can expect to make. All in all if you have extra coins and you are a long term holder you can conservatively expect a 30%+ return on your loans annually if you figure for compound interest. If anyone needs help getting started or has more questions let me know or PM me :) Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: Abiky on March 24, 2016, 03:56:22 PM I have got interested into Poloniex lending lately, and I was wondering what would happen in the case that the burrower could not pay the amount of coins in time? Will I lose them? Sorry for asking, but I tried looking information about this, but haven't got any luck. Any help would be greatly appreciated. I want to lend some Bitcoins in Poloniex, by the way. :D I do lend on Poloniex and I've done well for myself doing so. I want you to do your own independent research, calculations, and risk analysis but I've found it to be lucrative. No you won't get rich overnight but you are provided a service to margin traders. I've never had someone not payback a loan and whatever Poloniex is doing works for me. I will let you know that loan rates can change wildly with the market and that the more people lending BTC the less you can expect to make. All in all if you have extra coins and you are a long term holder you can conservatively expect a 30%+ return on your loans annually if you figure for compound interest. If anyone needs help getting started or has more questions let me know or PM me :) Great! It is good to know how lending works in Poloniex by sharing your experiences. Those are very interesting facts, and I might consider giving it a try and share my results here. I will definitely love to get started and will let you know by PM as soon as I get my BTC ready. ;D Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: RealPhotoshoper on March 24, 2016, 04:09:00 PM I have got interested into Poloniex lending lately, and I was wondering what would happen in the case that the burrower could not pay the amount of coins in time? Will I lose them? Sorry for asking, but I tried looking information about this, but haven't got any luck. Any help would be greatly appreciated. lend on poloniex?i've been trying to do that before,but i still not on good level to lend some bitcoin,and i also considering to cancel my plan to loan there,because i worry can't pay it, so i decide to loan on lending section on this thread,and i suggest you to loan there too,its easier and safe i think.I want to lend some Bitcoins in Poloniex, by the way. :D Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: alyssa85 on March 24, 2016, 05:18:17 PM I have got interested into Poloniex lending lately, and I was wondering what would happen in the case that the burrower could not pay the amount of coins in time? Will I lose them? Sorry for asking, but I tried looking information about this, but haven't got any luck. Any help would be greatly appreciated. I want to lend some Bitcoins in Poloniex, by the way. :D I do lend on Poloniex and I've done well for myself doing so. I want you to do your own independent research, calculations, and risk analysis but I've found it to be lucrative. No you won't get rich overnight but you are provided a service to margin traders. I've never had someone not payback a loan and whatever Poloniex is doing works for me. I will let you know that loan rates can change wildly with the market and that the more people lending BTC the less you can expect to make. All in all if you have extra coins and you are a long term holder you can conservatively expect a 30%+ return on your loans annually if you figure for compound interest. If anyone needs help getting started or has more questions let me know or PM me :) What sort of risk analysis do you do? For example do you only lend small amounts to limit default? Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: noel57 on March 24, 2016, 07:38:54 PM If i may understand you clearly, you are referring to the margin trading on polo, if i am right i can tell you that this is a safe investment because polo will not give out your funds to someone not credible.
Title: Re: Will Polo pay back lending amount if burrower doesn't pay in time? Post by: nuevo on March 24, 2016, 08:23:54 PM I have got interested into Poloniex lending lately, and I was wondering what would happen in the case that the burrower could not pay the amount of coins in time? Will I lose them? Sorry for asking, but I tried looking information about this, but haven't got any luck. Any help would be greatly appreciated. I want to lend some Bitcoins in Poloniex, by the way. :D I do lend on Poloniex and I've done well for myself doing so. I want you to do your own independent research, calculations, and risk analysis but I've found it to be lucrative. No you won't get rich overnight but you are provided a service to margin traders. I've never had someone not payback a loan and whatever Poloniex is doing works for me. I will let you know that loan rates can change wildly with the market and that the more people lending BTC the less you can expect to make. All in all if you have extra coins and you are a long term holder you can conservatively expect a 30%+ return on your loans annually if you figure for compound interest. If anyone needs help getting started or has more questions let me know or PM me :) What sort of risk analysis do you do? For example do you only lend small amounts to limit default? There are no defaults, margin lenders incur systemic risk, currency risk, and platform risk. If the margin position goes south, they liquidate the account and you get back your coins. |