How secure is Poloniex lending?

[tyz]

I am considering to try the lending feature of Poloniex for the first time. I read all the stuff that is available for the feature. It seems very risk-free (except the fact that Polo could be hacked and lose balances). Besides from this, is there any risk what I did not see?

[Edwardard]

I am considering to try the lending feature of Poloniex for the first time. I read all the stuff that is available for the feature. It seems very risk-free (except the fact that Polo could be hacked and lose balances). Besides from this, is there any risk what I did not see?

lending always has some risks especially if you are the lender. there is a possiblity that the person you are lending on polo might default on the loan. and i believe that polo doesnot guarentee to return back your money if the person defaults. but you should contact the polo support to find out if there are really some major risk factors or not. just my 2 cents!
edit : btw, are you trying to take a loan or give loan to others ? just curious to know.

[tyz]

I am considering to try the lending feature of Poloniex for the first time. I read all the stuff that is available for the feature. It seems very risk-free (except the fact that Polo could be hacked and lose balances). Besides from this, is there any risk what I did not see?

lending always has some risks especially if you are the lender. there is a possiblity that the person you are lending on polo might default on the loan. and i believe that polo doesnot guarentee to return back your money if the person defaults. but you should contact the polo support to find out if there are really some major risk factors or not. just my 2 cents!
edit : btw, are you trying to take a loan or give loan to others ? just curious to know.

Oh, is this true? I thought, Poloniex is guaranteeing the payback of the loan. If this would not be the case, then the lending interests are very low in my opinion 

[Cloverdale]

Same question was asked here; https://bitcointalk.org/index.php?topic=1461564.0

[JeffBrad12]

I am considering to try the lending feature of Poloniex for the first time. I read all the stuff that is available for the feature. It seems very risk-free (except the fact that Polo could be hacked and lose balances). Besides from this, is there any risk what I did not see?

lending always has some risks especially if you are the lender. there is a possiblity that the person you are lending on polo might default on the loan. and i believe that polo doesnot guarentee to return back your money if the person defaults. but you should contact the polo support to find out if there are really some major risk factors or not. just my 2 cents!
edit : btw, are you trying to take a loan or give loan to others ? just curious to know.

Oh, is this true? I thought, Poloniex is guaranteeing the payback of the loan. If this would not be the case, then the lending interests are very low in my opinion 

LOL, if poloniex guaranteeing their lander I think this is will become a new way for scammer to trying joining in them, but this is my first time about a new featured from colonies, but wanna to visit them this time.

[Red-Apple]

correct me if i am wrong because i have never used this feature but the way i see it is this way:
- people borrow money on poloniex for trading, right?
- so imagine someone borrows 1BTC from you and promises to return it with profit 1BTC+profit in a week.
- then he buys xyz coin @0.01BTC so he has 100 xyz
- the next couple of days xyz coin gets dumped real hard that the price goes down 50% down to 0.005BTC and we all know this happens so often in altcoins.
- now your 1BTC is turned into 0.5BTC since the borrower can no longer pay you back he leaves poloniex and never comes back to his account ever again

* now what are you going to do?

[crazyivan]

The only risk is Polo going down, getting hacked or something related to the exchange. Margin lending s safe, no chance lender can steal your money. However, profitability s questionable, Polo takes 15% from your profits. Very soon u ll figure out you can't make anything significant that way.

[CraigWrightBTC]

In my opinion the risk of lending on trading is we can not control our emotion, because if we use margin trading our emotion are unstable and we will out from rules of trading who make profit rutine. And i think poloniex is secure there are not find problem from people who use margin trading on there.

[X-ray]

The only risk is Polo going down, getting hacked or something related to the exchange. Margin lending s safe, no chance lender can steal your money. However, profitability s questionable, Polo takes 15% from your profits. Very soon u ll figure out you can't make anything significant that way.

15% is fine as long the funds were invested is quite high,we still got the rest which about 75% so it's definitely not wrong,and the one who offer this services and provide all the needs is polo,but if the money were invested is just very little,forget it,only wasting the time

[Cent21]

I tried lending at poloniex.

Poloniex lend funds to people who want to do margin trading, and they do a margin call when investor open position goes bad, preventing the investor to be unable to repay lended funds.

So if poloniex is ok (i mean no hacking or thinks like that) than i think lending is safe too.

But the real problem is that lending profit is very very low. I don't do it anymore because of this.

Anyway you could try it with a small amount, so you could figure out if it's what you are looking for.

Have a nice day.

[DarkStar_]

correct me if i am wrong because i have never used this feature but the way i see it is this way:
- people borrow money on poloniex for trading, right?
- so imagine someone borrows 1BTC from you and promises to return it with profit 1BTC+profit in a week.
- then he buys xyz coin @0.01BTC so he has 100 xyz
- the next couple of days xyz coin gets dumped real hard that the price goes down 50% down to 0.005BTC and we all know this happens so often in altcoins.
- now your 1BTC is turned into 0.5BTC since the borrower can no longer pay you back he leaves poloniex and never comes back to his account ever again

* now what are you going to do?

I will take the person who took the loan's collateral (another altcoin) and hope that the person who lost it can afford the loss. What else is there to do? No point getting their contact info, sueing them, e.t.c when you can just take his/her collateral and get all your money back. The only event where you would lose is if either Polo gets hacked/funds stolen, or if both the collateral and the altcoin invested in crash, and the collateral no longer covers the loan amount. This is highly unlikely, as polo also has it set up so if the person who took the loan's collateral reaches a certain percentage of the loan amount, enough is sold to repay the loan.

[malcovixeffect]

I am considering to try the lending feature of Poloniex for the first time. I read all the stuff that is available for the feature. It seems very risk-free (except the fact that Polo could be hacked and lose balances). Besides from this, is there any risk what I did not see?

Profit is too damn low. Tried it and its not worth it

[DarkStar_]

I am considering to try the lending feature of Poloniex for the first time. I read all the stuff that is available for the feature. It seems very risk-free (except the fact that Polo could be hacked and lose balances). Besides from this, is there any risk what I did not see?

Profit is too damn low. Tried it and its not worth it

You can't expect to make a lot of money with low risk. Get a bot to automatically loan your funds when your busy/have extra funds, sit back and enjoy the profit. Small, but a lot of small profit can be decent profit.
If your going on a vacation or something, putting your Bitcoin to work from loans can be a good idea especially if it's done automatically.

[asriloni]

I tried lending at poloniex.

Poloniex lend funds to people who want to do margin trading, and they do a margin call when investor open position goes bad, preventing the investor to be unable to repay lended funds.

So if poloniex is ok (i mean no hacking or thinks like that) than i think lending is safe too.

But the real problem is that lending profit is very very low. I don't do it anymore because of this.

Anyway you could try it with a small amount, so you could figure out if it's what you are looking for.

Have a nice day.

How many interest the lender wanna to taking from lending into someone? just giving a figure, I don't sure if you wanna giving a .03 for lending and you wishes you will get payback for 0.045 and that's so large.

[maydna]

I am considering to try the lending feature of Poloniex for the first time. I read all the stuff that is available for the feature. It seems very risk-free (except the fact that Polo could be hacked and lose balances). Besides from this, is there any risk what I did not see?

i think its a another way to make profit although many member would not agree with my opinion. i am lending my btc and other coins, and i don't expected to get much in a short time. for me, its like an investment that can give other profit and i think polo is a good site. the only problem is polo often get DDOS by unknown people. but i think for polo itself, they will fix and secure their site, just to give safe for their member.

[SyGambler]

crazyivan is right , poloniex lending is safe cause the money is only used for trading and the borrower can't withdraw them
so you can consider it a safe investment unless polo got hacked or shut down
and the rates these days are really low for btc , it was way better previously
but if you are holding an alt and you want to grow it without bothering with trading then you can go for it , cause the alts rate is good when there are some pumps

[cryptospreader]

The lender won't lose his money while lending for margin trading. This is applicable not only to polo but all margin lending sites. There are several factors that imply this. However, you can't get big profit by lending. However it is safe.

[DarkStar_]

The lender won't lose his money while lending for margin trading. This is applicable not only to polo but all margin lending sites. There are several factors that imply this. However, you can't get big profit by lending. However it is safe.

Don't spread lies. Seems like an echo of previous posts, which means that you should know from reading the first few that the lender could lose his money. What if Poloniex goes cryptsy? What if the collateral coin crashes and there aren't enough buy orders to liquidate it, and the margin coin also crashes?

[mobnepal]

I think margin lending in poloniex could be considered as safer because borrower will get 2.5x of his total bitcoin as loan only when he decide to short or long any coin. So even if the price get dumped hard, poloniex will automatically liquidate borrower account to recover the loan amount and also fee poloniex takes on margin trading. I don't think their lending is as risky as in other bitcoin lending platform.

[Newcoins2020]

I think margin lending in poloniex could be considered as safer because borrower will get 2.5x of his total bitcoin as loan only when he decide to short or long any coin. So even if the price get dumped hard, poloniex will automatically liquidate borrower account to recover the loan amount and also fee poloniex takes on margin trading. I don't think their lending is as risky as in other bitcoin lending platform.

With ALL financial instruments there is always a risk, and no I can't say if it is bigger or smaller then other interest, but i can say that i don't use those instrument.
I prefer safety and safe investments, spending a few btc in altcoin is as far as I will get.