A man in UAE took six figure loan and lost 85% of his crypto value

[Yudhisthir]

Crypthomie, a Reddit user identifying as a 32-year-old male living in Abu Dhabi, recently posted a photo of his repayment schedule pertaining to a six-figure loan that he took out on the 18th of December, 2017.

The Redditor borrowed 338,000 dirhams (roughly $126,500 USD), with a total outstanding amount of 393,296.80 dirhams ($147,200 USD) including interest from Emirates Islamic Bank. The document outlines a repayment schedule of 8194 dirhams ($3067 USD) monthly until December 14, 2021.

The investor wrote: “Here is my bank installment related to the loan I took to invest in crypto. Still three-and-a-half years to go until I’m freed. Until then, I’m working for nothing and I’m at 85 per cent loss. I hope it gives you a lesson.”

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[o_e_l_e_o]

What a moron.

The first rule of any investment, particularly crypto, is to only invest what you can afford to lose. A loan, by definition, is not money you can afford to lose.

[trade2winnn]

only 85%? now the people who in December I think came lost X10 rates,and not some only 85%,so I can say we have to wait,for example those who went in the crypt believe that it will grow and will go up pricem very strongly upwards,so that zhdems believe,and we hope that it will come this soon)

[raging-creeper]

Crypthomie, a Reddit user identifying as a 32-year-old male living in Abu Dhabi, recently posted a photo of his repayment schedule pertaining to a six-figure loan that he took out on the 18th of December, 2017.

The Redditor borrowed 338,000 dirhams (roughly $126,500 USD), with a total outstanding amount of 393,296.80 dirhams ($147,200 USD) including interest from Emirates Islamic Bank. The document outlines a repayment schedule of 8194 dirhams ($3067 USD) monthly until December 14, 2021.

The investor wrote: “Here is my bank installment related to the loan I took to invest in crypto. Still three-and-a-half years to go until I’m freed. Until then, I’m working for nothing and I’m at 85 per cent loss. I hope it gives you a lesson.”

Some of the people are being harsh here.  The man took his shot and lost.  More than most of us sitting here diversifying our pennies sure not to make anything.  I respect him.  He may have been reckless but he had balls. 

[BlackBoxRecords]

only 85%? now the people who in December I think came lost X10 rates,and not some only 85%,so I can say we have to wait,for example those who went in the crypt believe that it will grow and will go up pricem very strongly upwards,so that zhdems believe,and we hope that it will come this soon)

There is plenty of room to grow, the market is very narrow and that´s of no help for whoever want´s it stable. But there are better options for safety and estability than crypto.

[Ucy]

I do not believe he invested all that in Crypto.. . I really doubt he was that foolish.
He probably got the loan for something else but diverted some into Cryptocurrency.
By the way, what Bank on Earth would give out so much money (even with collateral) without a Business plan?

Hope he is OK though.

[ShareAccepted]

Crypthomie, a Reddit user identifying as a 32-year-old male living in Abu Dhabi, recently posted a photo of his repayment schedule pertaining to a six-figure loan that he took out on the 18th of December, 2017.

The Redditor borrowed 338,000 dirhams (roughly $126,500 USD), with a total outstanding amount of 393,296.80 dirhams ($147,200 USD) including interest from Emirates Islamic Bank. The document outlines a repayment schedule of 8194 dirhams ($3067 USD) monthly until December 14, 2021.

The investor wrote: “Here is my bank installment related to the loan I took to invest in crypto. Still three-and-a-half years to go until I’m freed. Until then, I’m working for nothing and I’m at 85 per cent loss. I hope it gives you a lesson.”

Yep, the case has been given plenty of publicity, but you see, it is being used to scare away people rom crypto. If someone is just stupid, crypto cannot cure it.

[Ravenangel]

hmmm quite suspicious, first which bank gives you such a big loan without any plan?, and by the way he says that thanks to that he will have to work only to pay the debt and I understand that banks only give loans if they are sure that you will meet the payment strictly, usually means to earn twice what the bank will charge you as a monthly rate, although I am amazed at its balls to invest all or nothing in cryptos, was also a fool to do so, now he will be enslaved to his work for a while until he pays the debt.

[tomahawk9]

Dumb people make dumb decisions. It's kinda hard to feel bad for the guy, I mean, he could've taken 10min to read about cryptos and he would've found one of the Golden Rules of cryptocurrencies: Don't risk money you can't afford to lose.

I was reading his posts on Reddit, and it seems like he invested in some unknown coins like HPB, this is a coin that was created in January this year yet the user decided to invest in this coin during its ATH...looks like the guy simply had no idea what he was doing at the time, I guess he was caught up by the bull run and fell for the trap, buying at the worst possible time a bunch of highly speculative shitcoins...that screams for troubles in the long run.

[EHT7500]

What a moron.

The first rule of any investment, particularly crypto, is to only invest what you can afford to lose. A loan, by definition, is not money you can afford to lose.

Gold words!
These words - what you can afford to lose are related to the possible amount of investment and borrowing money in debt to any person. The risk is the same and the possibility of a non-return exists. You have to be ready for this opportunity all the time.

[sheenshane]

What a moron.

The first rule of any investment, particularly crypto, is to only invest what you can afford to lose. A loan, by definition, is not money you can afford to lose.

Yes precisely, why you need to have loan just invest in crypto that we all know the volatile situation on cryptocurrency that makes fluctuate the price value in the market. Investing is just like a gambling doesn't expect too on it if you rely on this kind of business much better have a dip study before doing that. Maybe this person didn't know the possible happen about investing cryptos.

[newinbtc]

Crypthomie, a Reddit user identifying as a 32-year-old male living in Abu Dhabi, recently posted a photo of his repayment schedule pertaining to a six-figure loan that he took out on the 18th of December, 2017.

The Redditor borrowed 338,000 dirhams (roughly $126,500 USD), with a total outstanding amount of 393,296.80 dirhams ($147,200 USD) including interest from Emirates Islamic Bank. The document outlines a repayment schedule of 8194 dirhams ($3067 USD) monthly until December 14, 2021.

The investor wrote: “Here is my bank installment related to the loan I took to invest in crypto. Still three-and-a-half years to go until I’m freed. Until then, I’m working for nothing and I’m at 85 per cent loss. I hope it gives you a lesson.”

He Was too much greedy , thats why he invested such a big amount in crypto. And  every one knows crypo market is alway on risk as it runs 24 Hours.

on which basis that bank give loan to that person.
Never invest in crpto with loan money as it is not ur money.

here is full news about this

https://news.bitcoin.com/trader-gets-six-figure-loan-buy-crypto-holdings-drop-85/


he did a big mistake that he Takes Out Six-Figure Loan to Buy Crypto During December 2017 in peak time

[Pearls Before Swine]

A loan, by definition, is not money you can afford to lose.

That's what many investors don't understand and I would also add that crypto brings out the crazy in many of them, very much like the great bull markets in stocks.  Either they run up their credit cards to buy more or they buy on margin, which is the same thing as taking out a loan.  I  have read stories here about credulous investors mortgaging their houses to get money to buy bitcoin.  That is insanity to me.

This gentleman in the UAE might have risked money he could pay back but what he did was incredibly risky and stupid.  Nobody should be taking out loans to buy something as volatile as bitcoin.

[Victorik]

The loan he borrowed was damn too much to have invested in Crypto. I used my sister cash in investing too, I got trapped, when she needed the money most, I delivered some in solving her project. I have learnt my lessons. It's not as if I don't know the rules, mine was more of FOMO and partly greed. I have learnt to always ride against general tides.

[Yudhisthir]

Crypto market is too much similar to Stocks.
Even in stocks people tend to buy more taking loans if the market has had a sharp growth and tends to sell at loss in desperation when the price is low.
If you want to invest, current time is the best time to take a loan.

[DabsPoorVersion]

Crypthomie, a Reddit user identifying as a 32-year-old male living in Abu Dhabi, recently posted a photo of his repayment schedule pertaining to a six-figure loan that he took out on the 18th of December, 2017.

The Redditor borrowed 338,000 dirhams (roughly $126,500 USD), with a total outstanding amount of 393,296.80 dirhams ($147,200 USD) including interest from Emirates Islamic Bank. The document outlines a repayment schedule of 8194 dirhams ($3067 USD) monthly until December 14, 2021.

The investor wrote: “Here is my bank installment related to the loan I took to invest in crypto. Still three-and-a-half years to go until I’m freed. Until then, I’m working for nothing and I’m at 85 per cent loss. I hope it gives you a lesson.”

I think he doesnt know too much about crypto, he invested a huge amount of money without knowing the risk, he doesnt know what he might get after that, he only invest because he knows that crypto is a good opportunity to earn money.

[Bencus]

two scenarios that I can imagine:
He is rich already, but he tried to do it from a loan. OR
He wanted to be rich, badly. Turned out to be a huge mistake investing into crypto.

I hope for the first, but believe in being the second.

[Lizzyflower]

This is very devastating. He didn't ask questions before diving into 2017 FOMO. Investment gone wrong. I feel for him.

[klasik1980]

trading can be extremely risky, especially if you attempt to day trade using borrowed money. Individual investors frequently lose money by trying to use this approach.

[energodar2019]

Feel for him. I think this is not the only case, many had a veil on the eyes when there was a mad growth of cryptocurrencies at the end of last year. It is greed, the desire to make money and failed me. I also used borrowed money, though much less. Still, it affected me and I got a lesson for life.