Bitcoin Forum

A lot of people have been around for years and should have reached ROI <Return on investment> or been in a position to pay off all their debt with their Bitcoin profits.

Let's say you have debt of $10 000 and you invested some money into Bitcoin in the last few years. If you have enough profits from this investment, would you pay off the debt or would you continue Hoarding? <hoping for the Moon>?

Most financial advisors will tell you to pay off your debt first, but they have not seen investments that grow with more than 800% within a year. < Apart from illegal Ponzi schemes >

Do you risk hoarding your bitcoins for a "Jackpot" bonus, when it reach the Moon OR do you sell now and pay off your debt?

What would you choose?

Edit : Asking, because a friend of mine is stuck with this problem. He has $10 000 of debt and he just made enough profit to pay off all his debt.  ::)

if the profit is enough to pay off all his debt, i would be better to immediately sell now and pay off debt. because the Virtual Rates Currency fluctuates, where prices can change significantly over time. we don't know the asset values may increase or decrease significantly at any time and Bitcoin not guaranteed by government or other legal institutions (this is the main problem). you can refer your friend to start from scratch  ;D

You never want to walk around with debt. I wouldn't, at least. If you have made enough to pay your debts, cash out, pay your debts and invest after that.

I've never been in debt personally so wouldn't understand the pressure that's on peoples shoulders if they do have debts but I would say if you truly believe in Bitcoin as a currency and think it can maybe double its value or more then it's worth going with your beliefs as it could pay off your debts in the future as well as earn you a little pocket cash on the side too.

Bitcoin not just helped me to pay off my debt but it also helped me during my wife's medical emergency. I had a huge credit card debt which I had accumulated over three years. The monthly payment I was making was huge and the interest component was higher than the principal amount every month. Bitcoin helped me to clear all my credit card debt and also helped my credit rating. Then I applied for a housing mortgage loan which got approved quickly. So I am currently paying my mortgage payment from my salary only which has a predefined schedule.

Few months back, I had to take my wife to hospital due to some woman's health related problem. Doctor suggested a surgery may be required. She does have a health insurance but with "co-pay" option. That means, I have to pay 20% of the total cost and the insurance company will pay the rest. However, for initial hospitalization and medicines, I needed a good amount of money. I quickly cashed out a very minor percentage of my holding through localbitcoins and which took care of the need of the hour. I have reached ROI long back, because I scored most of my bitcoin when the price was between 450 - 500 USD. So bitcoin is indeed a blessing to me.

Debt multiplies, and depending on the terms, it may outpace bitcoin growth. I say do not risk your neck out and pay what needs to be paid.

Pay off the debt before anything. Debt accumulates interest and Bitcoin isn't certain to keep rising or keep it's value. So pay it off if you can now and then continue earning bitcoin like you have the last few years.

I've seen people that use like half of their bitcoins to pay debts, maybe they don't fully pay them back, but most of them still use this profit money to pay back. I think your friend should do the same unless he likes to risk.. Bitcoin's price might fall soon, so he might regret later for not spending this money!

Well that's good for your friend mate, Cryptocurrency is the best investment ever and never seen anywhere as good as this except for scam. I'm not typically an investor but I made decent amount upon entering in crypto community and learned a lot financially.

But I realized hoarding and keeping some bitcoin can save you in the future, as years goes by it gains steady momentum and continues to grow, still a good time to buy and make profits.

Clearing high interest debt (>10%) should be number two on your "Financial Checklist", straight after number one "Make a Budget". There's no point thinking about long-term investing if you are potentially going to lose your gains or more paying outstanding debt. Yes, you MIGHT get a better ROI, but you also might end up selling all your belongings and having your house repossessed because of the debt. That's a level of risk I wouldn't accept. I'd rather guarantee a nice life than take a gamble between millionaire and homeless.

,in my personal opinion, it is hard to live thinking about your debts everyday, its like you are being drowned by your own blood. if his returns are able to pay all of his debts then why not pay, and then start saving for your own good right? there is no point if those debts are having interest per month or depending on your contract or what you have agreed both parties, just pay it so you can get out of that debt and then start building your own empire using bitcoin, easy to say but takes hard work to do.

If the debt is within the control range, it may continue to hold for a while when the trend is very good. If your debt is very stressful for you, of course, remove the debt first, so that your life will be more relaxed and pleasant. Only by maintaining a good attitude can you get good returns if you continue to invest. I think so ;)

Yes definitely true.We can easily tell to everyone to pay first our debts before earning more bitcoins for our own good.But if you happen to have your own personal debt,i think it's really hard to pay it off through your hardearned  bitcoins.Maybe you will think first to double your income or profit before paying it.

I will take the profits and pay off the debt first. {Keep the initial investment in BTC} We do not know if something might go wrong in the future

and if it does, you would still be stuck with debt and some worthless coins. Debt accrue interest and you can reduce that interest if you pay off

some of the debt. {if you cannot settle the whole amount} Life can be cruel sometimes... one day you can handle the debt and something bad

happens {losing your job or sickness} and then you are stuck with bigger debt or you could lose your house.   :(

Your friend should use that money and pay debt,It's the only logical move.But I know that problem is that he need to sell his BTC so when he do that there is no more profit for him.So he can risk and wait to BTC price increase more,but question is whether the debt rise in the meantime or not?

As for me I'm not in debt,but I would not risk if I have chance to pay and get rid of it.Some people can live and ignore their debts and defer payments as long as possible,others take the first opportunity to pay the debt.

I'd be pretty shocked if everyone here wasn't staggeringly in the black with any crypto at this moment in time unless they'd gambled it all on alts.

If my debt was standard stuff and perfectly manageable there's no way I'd throw any BTC at it. If the debt was consuming my life and there was no other way of getting rid of it then of course I would.

i have never been in debt be cause i never liked borrowing from anyone, even if i didn't have money. but bitcoin has improved my financial situation a lot. not just because it has risen and obviously that is profitable but also because i have been making bitcoin as an additional job that i do in my free time.
and when it comes to trading, i have made a lot of money from altcoin pumps that i never believed to be possible before.

Well I pointed the guy to this thread and he decided to sell 50% of his bitcoins to pay for some of his debt. He said, and I quote : " I do not want to look back and regret that I had the chance to improve my debt situation, when the opportunity was there. "

I think he made a good call, because most of the people in this thread agree, paying debt should be your first priority. ^smile^

I was in debts of $1000 that was deficiency of my off-line business and it was developing daily due to inbound cash for me, although there's small sum of cash was arriving, but it is just like for a coffee. By becoming a member of here in Sept in so many bounties, I got compensated from few like 3% out of 97% scams here.

Now I am exempt from Financial obligations as it went efficiently within per 30 days and some BTC is still under Blockchain wallet for holding BTC.