Can someone tell me more about lending on bitcointalk?

[Roskato]

Hi there,

First of all, let me introducé myself to you. I'm Roskato from Rotterdam, The Netherlands.
I'm 20 years old and I'm an IT student.

I use bitcoin since 2016, when one bitcoin was 400 bucks

In December, I invested in a few antS9 miners. I want to expand now. I did some research and I found btcjam and loanbase, but they haven't a lot of active members anymore. Now I saw that bitcointalk had a lending category. I wondered how it works here. I understand that I can't get a big loan as a newbie. I would like to start with some small loans to build some trust.

Now I have some questions:

Do you need any collateral for small loans? If so, what do people give as collateral for small loans? (0.02 btc or more)
How can people see that I paid someone back?

Thank you!
Have a nice day!

Cheers,
Roskato

[OmegaStarScream]

Loanbase and BTCJam have no longer active members because people are defaulting loans and the investors don't want to take risks anymore.

As for the forums , then the rank doesn't really matter much (but It's definitely something that could add more trust) as long as you have a collateral of course. 0.02 BTC is not really considered as a small amount because whoever is giving loans , is giving them to multiple people and not only one.
A collateral is probably a must for your case but you need something valid , like a stable altcoin for example or a bitcointalk account etc... , If you are considering to give some digital accounts such as Steam , PSN, Xbox then forget about it.

Usually , when you pay back , people will leave a positive trust on your trust profile and that will make people more aware of what you did in your previous transaction and decide whether to trade with you/loan you or not.

[Roskato]

Thank you for answering my questions!

Cheers,
Roskato

[BurtW]

I used to lend BTC.

I ended up with a large portfolio of bad loans.

The amount of BTC I lost to bad loans far exceeded the amount I made in interest.

You can do the math there

As far as people you would consider a "good risk" - there is a staff member here at bitcointalk.org that owes me money from years ago.  Nothing I can really do except hope he reads this and it shames him into repaying at least some of the BTC.

[Coinster]

Hi Roskato - As mentioned, loans are often defaulted on because people don't feel they lose anything substantial if they don't pay it back. You'll also find people lose money trading due to scams and fraud. These problems are so bad we just started a site to provide a solution at https://trustedcointrades.com. There is not much activity yet as it's new, but hopefully trustworthy people will find it easy to get loans (or make them) in the range of $25-$200, without any collateral needed. Credit for loans or trades are based on the trustworthiness of the member, which is evaluated on a case by case basis.

[alexrossi]

I just want to add that lending on btctalk is extremely risky because in many cases is impossible to have a connection of the real person that is managing an account (this means a very high rate of defaulted loans and scams where the user just disappears). I assume lending without collaterals, because the general collateral that is considered here are altcurrencies, that can be easily sold on the market instead of being held in a long process like a loan.

[GameunitsSEO]

Better use https://poloniex.com/lending#BTC

Much more secure 

[mrcash02]

Better use https://poloniex.com/lending#BTC

Much more secure 

It's true, but the rates are too low... You will earn 0.016% interest daily lending there and you need to destiny some satoshis to the bot, to make him automate the process for you.

Lending on forum can give higher interest, higher profit, but it's too hard for newbies to do it. Who wants to take money looks for trusted and traditional members which are already usually lending money. Good luck anyway for OP.

[Mike Mayor]

I was thinking about this too but I will not and never will conduct any trade without an escrow so lending is a definite no.
I would probably take altcoin as collateral but that might be dangerous if the price goes down or you want to dell them but cannot because you holding them and might get your bitcoin back. The % you can make is very high but the biggest problem to face is the vast lack of people to lend money too.

Better use https://poloniex.com/lending#BTC

Much more secure  

It's true, but the rates are too low... You will earn 0.016% interest daily lending there and you need to destiny some satoshis to the bot, to make him automate the process for you.

Lending on forum can give higher interest, higher profit, but it's too hard for newbies to do it. Who wants to take money looks for trusted and traditional members which are already usually lending money. Good luck anyway for OP.

Is it really that low ? Wow that's more useless than a fiat bank account.

[mrcash02]

I was thinking about this too but I will not and never will conduct any trade without an escrow so lending is a definite no.
I would probably take altcoin as collateral but that might be dangerous if the price goes down or you want to dell them but cannot because you holding them and might get your bitcoin back. The % you can make is very high but the biggest problem to face is the vast lack of people to lend money too.

Better use https://poloniex.com/lending#BTC

Much more secure  

It's true, but the rates are too low... You will earn 0.016% interest daily lending there and you need to destiny some satoshis to the bot, to make him automate the process for you.

Lending on forum can give higher interest, higher profit, but it's too hard for newbies to do it. Who wants to take money looks for trusted and traditional members which are already usually lending money. Good luck anyway for OP.

Is it really that low ? Wow that's more useless than a fiat bank account.

The only good point is that we are earning interest in Bitcoins when lending in Poloniex, different from banks which pay in fiat, depending the country it doesn't worth as the inflation is too high and fiat is becoming useless in long term.

[European Central Bank]

how many successful loans have there been on here? the whole lending section looks like some type of autistic modern art project to me.

the routine is - idiot noob with 1 post asks for 5 btc offering nothing, followed by 5 pages of the same people telling him he's an asshole and then he gets red voted into oblivion. repeat for page after page after page.

if you have collateral in the form of an alt, sell the goddamn alt and then you're no longer exposed to currency fluctuations or online abuse when you fail to pay someone back.

and loaning to mine is not a great idea. you'll be outgunned in a few months as the difficulty keeps on spiralling.

[BurtW]

Better use https://poloniex.com/lending#BTC

Much more secure 

You can also lend on https://www.bitfinex.com/

[wintermeasures]

Hi there,

First of all, let me introducé myself to you. I'm Roskato from Rotterdam, The Netherlands.
I'm 20 years old and I'm an IT student.

I use bitcoin since 2016, when one bitcoin was 400 bucks

In December, I invested in a few antS9 miners. I want to expand now. I did some research and I found btcjam and loanbase, but they haven't a lot of active members anymore. Now I saw that bitcointalk had a lending category. I wondered how it works here. I understand that I can't get a big loan as a newbie. I would like to start with some small loans to build some trust.

Now I have some questions:

Do you need any collateral for small loans? If so, what do people give as collateral for small loans? (0.02 btc or more)
How can people see that I paid someone back?

Thank you!
Have a nice day!

Cheers,
Roskato

According to me it's not a Good idea to Take a Loan and Invest that Money in Mining Because it won't give you profit now and even also it doesn't cover your expenses But If you want to Take a Loan From this Forum then you can take with a Valid Collateral Security and invest that money in another Business to Make Some Profit and to Return the Loan Amount......

[bustedsynx]

Definitely not a good idea to borrow BTC now. Maybe in a downtrend. Because you might end up paying for more expensive BTC.