pentol86
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January 07, 2018, 11:03:42 AM |
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not all people rich, especially from third world. with the accuracy of the analysis and calculation, they can gain a bit of profit from investing in bitcoin
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===================================================== BILLCRYPT - CREATING HISTORY
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zarados
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January 07, 2018, 11:19:05 AM |
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18.15% are people who dare to take risks. I have said this in my previous post. https://bitcointalk.org/index.php?topic=2697718.msg27632238#msg27632238 As I know, credit cards have a limit on the amount of loans that users can use, and each month, the user must pay at least 10% of the total loan used + interest. As long as the user still has other income that can cover monthly installments, maybe it's still safe. But if not, I think that's very risky.
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removebeforeflight
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January 07, 2018, 11:58:41 AM |
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Nothing harm in buying bitcoin with borrowed money. Those who don't have investment in hand also wants to earn some profit and wants to double or triple their money would definitely dare to take this step. However, after 1 or 2 years they can earn x5 times minimum of their borrowed amount growth for sure in bitcoin.
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vintages
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January 07, 2018, 02:21:17 PM |
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This is such a very risky act! Why would someone ever thought of doing that? Is it that some digital investors are becoming more greedy or what? In as much as Bitcoin is booming and is a good investment, borrowing to invest in it is way too risky. Do they ever thought, what if bitcoin price goes down and became steady what would have happened? This is a big no for me.
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malikusama
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January 07, 2018, 02:44:30 PM |
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This really does highlight the stupdity of people, these are the same people who go ahead and think that Bitcoin is going to 1M and they need to get in now. They probably don't even know anything about Bitcoin in the least though they think this is the path to finally making millions. I guess they'll be surprised when they get fully fucked as Bitcoin is taking a bit of a downturn -- at least from 20k
It's sad that this is the type of lesson that people need in order to not use margin to invest or to GAMBLE (as Crypto is basically gambling)
Exactly, People do have a firm belief on bitcoin due to the price increase in last year but along with the bielief they should no about the risk and this is possible if they have knowledge of bitcoin, mostly people don't have a proper knowledge of bitcoin and blockchain and they are investing like crazy.
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Naficopa
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January 07, 2018, 02:55:47 PM |
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It's probably not a good idea to invest for borrowed money. In the case of a fall in price, this can end with a huge debt. It's a very big risk.
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Wolfbear
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January 07, 2018, 02:58:59 PM |
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i invest in cryptocurrency no more than 10% of my income
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jaysabi
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January 07, 2018, 04:26:19 PM |
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With cryptocurrencies trending in popularity, it seems that many investors are purchasing bitcoin on borrowed money — credit cards and loans that bear interest. The consumer group Lendedu released a report on bitcoin investors who use credit to purchase digital currencies Which of the following best describes how you funded your account to purchase Bitcoin?After purchasing Bitcoin on your credit card, have you paid off your credit card balance?Are you comfortable paying interest on your credit card as a result of your Bitcoin purchase? Are you planning to pay off your credit card balance, accumulated by purchasing Bitcoin, by using the proceeds from the sale of your Bitcoin investment? Between people who used a credit card to fund and purchase (Question 1) Do you plan on buying additional Bitcoin using your credit card?a. 76.23% of Bitcoin investors answered "Yes." b. 23.77% of Bitcoin investors answered "No." Source 1Source 2
People are so crazy, really...So, 18% used a credit card, 22% of them haven't pay off their credit card balance. 1/3 are worried about the interest expense.... and 23% will continue buying additional Bitcoin using your credit card?... the average annual percentage rate (APR) on a credit card is 15.07 percentThis is terrifying. People are so desperate with their FOMO that they're taking on high interest rate loans to buy a highly speculative and inherently worthless asset. Taking on a high degree of risk to roll it into an even higher degree of risk is just the epitome of stupidity. Risk doesn't just add in this case, it compounds. I don't wish ill on these people, but I will not feel bad if their risky behavior burns them exceptionally hard. This is a potential problem that is entirely avoidable and foreseeable. First rule of investing is not to risk anything you can't afford to lose. If you're taking out high risk loans to invest, you've completely lost focus of what you're doing, or you never understood it in the first place. People resorting to credit card loans obviously shouldn't be investing in the first place, because there are more suitable ways to get an investment loan, so it seems to indicate these people don't have access to those channels because they're not well off enough or sophisticated enough as investors.
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supermine
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January 07, 2018, 04:37:26 PM |
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It's probably not a good idea to invest for borrowed money. In the case of a fall in price, this can end with a huge debt. It's a very big risk.
This shows the greediness of humanity,people want to make quick money with bitcoin even they don't have enough money to buy bitcoins.But it is not a bad idea if you can borrow money for low interest then you can make more profits with bitcoin and can pay their debts soon.But bitcoin investments are risky so we can't say when the price rise and fall so people who investing on borrowed money taking a big risk,sometimes it will payoff but many times you gonna be a loser.So please invest the savings amount only not the borrowed money.
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Fortnight
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January 07, 2018, 05:30:01 PM |
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I would be curious to see the median credit card charge. Several people I know are interested in holding bitcoins for fun or to satisfy their own curiosity, but they don't have sufficient liquid funds and aren't willing to sell long-term assets. What they've done is financed their purchases on 0% introductory rate credit cards, to be paid off with future expected cash flows. That could explain both why some haven't paid off their cards yet and why ~70% of those believe "bitcoin is worth the interest expense". I'm sure many are irresponsibly leveraging themselves, but hopefully most fall into the former category.
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cybersofts
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January 07, 2018, 06:02:49 PM |
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I am strongly against making any such investment, but till now Bitcoin has given massive amounts of returns to whomever invested in that asset. So I don't have the right to advice anyone. If they want to take the risk, then let them take it. There is also a possibility that these guys will be having a better understanding about Bitcoin when compared to me.
Yeah, must investments involved taking risk and these people that invested in bitcoin with credits wins the game. it appears the investment with the highest risks are the ones making more profits. There was a time when I read about a guy selling his house to invest the money into bitcoin around Mid-July 2017 targeting the August 1st, bitcoin hard fork that led to the creation of bitcoin cash. why is that guy by now? I know he must be very happy by now.
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william8829
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January 07, 2018, 06:35:14 PM |
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18% of Investors Buy Bitcoin With Borrowed Money [/url]
I am surprised it is so low. From the thousands of posts I have read I was under the impression that every other person interested in Bitcoin was taking out a second mortgage on their house. the average annual percentage rate (APR) on a credit card is 15.07 percent[/url]
The average annual return on Bitcoin is 2400%. I am not saying it is the smart thing to do but I get why they are doing it. Greed.
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mrcash02
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January 07, 2018, 06:47:18 PM |
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People are putting all their hopes in BTC, and that isn't all. There are people that borrow money from banks without worring about paying 3x the amount borrowed back. Others sell everything they have to buy Bitcoins, what is much equally or risker than borrowing money. They are sure Bitcoin will continue profitable for a long time yet, 10%-20% profit people can make playing here with simple trading at exchanges without a large knowledge.
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hitrawal91
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January 07, 2018, 08:47:43 PM |
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I don't think that investing from borrowed money is a bad thing and in fact, even i had tried and experienced it tons of times. But here using a credit card for investment capital is not a bad idea if you are having Faith in bitcoin and confidence on your gut feelings then you should little bit of risk and take trades during the deeper correction of the uptrend. But be careful during the sideways market you better stay away from trading during the sideways market, because it is better not to trade than loosing. I really like the confidence and gut feeling of these guys .
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eyesopen
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January 07, 2018, 09:54:05 PM |
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18% is low in my opinion, I thought it would have been higher. there are a lot of people who don't have financial skills and others who gamble. I wonder when the survey was done, was it before bitcointalk.org hit 20k? Ic it was did people cash out to pay off the debt? I doubt it.
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gentlemand
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January 07, 2018, 09:59:24 PM |
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not all people rich, especially from third world. with the accuracy of the analysis and calculation, they can gain a bit of profit from investing in bitcoin
Or they might have to wait three years to break even again just as the borrowers in late 2013, and I remember seeing the posts from them, had to. I guess if you're one of those people who just doesn't give a shit about debt, and there are many, then you can go bankrupt and not care. I'm allergic to any type of debt but that's a minority view these days.
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Grumpybitcoin
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January 07, 2018, 10:03:56 PM |
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This is Really crazy. Only use Money on bitcoin or other cryptos which you can afford to lose. Bitcoins value multiplied in 2017 but this does Not mean it will multiply in 2018
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949miner
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January 07, 2018, 10:13:15 PM |
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In fact, i have a friend who asked for a loan to a bank of more than $10k, that loan had more than 50% of interest per year. He bought bitcoin with that borrowed money, and he bought as many bitcoins as he could, if i am not wrong, he bought btc when it was less than $500 each one of them. He is still holding them, and i am not lying, i know him, and we have been being friends since we were ten years old. I think it's very dangerous to borrow money to invest in bitcoins, because there are risks in investing, and there is no denying that investing in bitcoins will bring benefits, benefits and risks.
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patt0
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January 07, 2018, 10:30:38 PM |
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No wonder crypto markets are so volatile. Most people have no real knowledge about bitcoin and blockchain technology in general, they just come in for the profit and they do it with borrowed money. Once the price starts to drop I bet that a lot of them just start to panic and sell, because of the fear of losing their investment and at the same time getting stuck with a loan to pay for something that they've already lost. This is really crazy, but I don't think it will stop.
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shaun98
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January 08, 2018, 12:50:35 AM |
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These people should seek financial advice. While some people may make lots of money and are able to pay back their debts, am sure a lot screw up in the market and end up being bankrupt. Only invest what you can afford to lose.
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