If we have great ability, is capital from bank loans safe for us to use trade?

[carlfebz2]

I have a friend who has quite great trading skills, almost every trade he manages to make a profit. But I see he always uses capital
under $ 500.If in my opinion he should use a large capital of at least $ 5,000 to get greater profit. I suggest to him to borrow from
the bank as trading capital, but he refused with the reason too risky and insecure. I want the opinion of you members of this forum,
whether to use capital from bank loans unsecured and risky if used trading by traders who have good skills? even though in my opinion
safe as long as we can make a profit and smoothly repay loan installments to the bank.

That's too risky mate even though you know that you are capable to multiply it easily. Your frined is just playing safe perhaps he's not too confident too much to take the risk of loaning from the banks. I myself will do the same thing as I know myself that I'm not professional. It's better in my opinion to just take the risk money that it's really yours thus if things went suddenly, it'll be feasible for you to recover it within a shorter period of time.

It is risky and even I wont really tend to make such step just to have more capital to trade.I would rather choose on letting my capital grow until it would come to
a point that it would become bigger and do give out advantage.You wont mind on repaying something in the end of the month which means its less stress compared
if you do have obligations to pay up and also it wont really be worth if you do trade up on something that you have just borrowed and as said
you cant be sure on how the market moves and this will highly affect or do increase out the risk.

[Basel636ghazal]

in my opinion
If he's a really good trader and uses stop lose in his trades
he must take a loan from the company without being afraid
And I suggest trading without leverage

[KnightElite]

Even if you have good trading skills, it is still risky to borrow from others people money or to get bank loans in order to have capital in trading. Yet is a good way in order to increase your money in trading but still do not do it especially if you are still new in the trading. There are many traders who falls in huge debt after they lose the money in trading that they loaned  from banks. It is better if you will use your own capital in order to lessen the risks and also for you to have good mindset because there will be a bad mentality that you can have specially if your capital is only borrowed and you experienced losses.

[iv4n]

Let's be honest, if you wish to start something from what you can make profit and live a life you need capital, the bigger the better. Many people don't have that capital and if they plan to start they need to borrow money, they need to take a risk if they wish to try! So that basically mean that if you don't succeed you will be in a problem, higher loan bigger the problem!
What's the reality? Many people take that risk, many of them fail, some succeed. If you read about successful stories, there are some similarities, they all did their homework, they made all preparations and calculations! So if anyone wishes to take a risk should do a homework and only then to sail into unknown waters! And if you can come up with some plan in case of emergency that would be great!
Listen your instincts, recheck your plans, make sure you did everything fine, and if you are sure in yourself do it!

[dunfida]

in my opinion
If he's a really good trader and uses stop lose in his trades
he must take a loan from the company without being afraid
And I suggest trading without leverage

Leverage trading on a loaned capital? I cant imagine on the stress and thrill with that one since you do know that you do need to pay something.
So it isnt really that advisable to go directly with leverage if you dont know on what you are doing.When it comes to confidence of a certain trader
to himself then it isnt bad but be sure that he can make money and as long he can repay then its his choice but on my part i wont take a risk
yet im also a profitable trader but taking a loan isnt included on my considerations.

[Mrengage]

He really gave you a good answer, see something no matter how good you are in trading there is a point that thing's will go Down and you will not see it coming. I have not have the idea to make loan's in a bank and use it for crypto is really insecure and risky to my own opinion I won't advice or recommend that.

[Basel636ghazal]

He really gave you a good answer, see something no matter how good you are in trading there is a point that thing's will go Down and you will not see it coming. I have not have the idea to make loan's in a bank and use it for crypto is really insecure and risky to my own opinion I won't advice or recommend that.

in my opinion
If the person is managing the risks well and is using stop lose there is no need to hesitate
Especially if he wants trading to be his primary source of income

[yupi84crypto]

He really gave you a good answer, see something no matter how good you are in trading there is a point that thing's will go Down and you will not see it coming. I have not have the idea to make loan's in a bank and use it for crypto is really insecure and risky to my own opinion I won't advice or recommend that.

in my opinion
If the person is managing the risks well and is using stop lose there is no need to hesitate
Especially if he wants trading to be his primary source of income

I totally agree with your opinion, as long as you have good risk management, there is nothing to worry about. Sometimes to be successful
in trading we must have the courage to take risks. If we continue to play safe, it will be difficult to develop. But of course we take risks,
must be with careful planning.

[Findingnemo]

If we are trading inside our comfort zone we may take more dare decisions but if you are trading with loan amount which may not be possible so there will be loss in the returns that is why some users never wanted to take loans for risky investment and that is the right thing as well. You can invest lend amount on something which gives assured returns and its more than the inflation rate or else its not worth to invest.

[YOSHIE]

I have a friend who has quite great trading skills, almost every trade he manages to make a profit. But I see he always uses capital
under $ 500.If in my opinion he should use a large capital of at least $ 5,000 to get greater profit.

If I observe from your story I can conclude that your friend is a great person and does not want to accept the risk, he really enjoyed the benefits with small capital.

Crypto trading is full of risk, your friend is a cunning and great person, with a capital of $ 500 he can profit anytime by weighing high capital and high risk.

I am sure that your friend is quite professional in not sloppy trading and ambitions are full of meticulous consideration.
The saying:
"Little by little becomes a hill" .

[Shallow]

Trading with what one can afford is the best and first financial or trading advice experts will always give. There is no reason to trade and be under stress just because of how much you are trading with, probably because it's borrowed; trading goes with relaxation. Your friend's decision is good, he is very correct and wise by rejecting that idea of borrowing from the bank, because the crypto market is highly volatile and anything can happen anytime. Lastly, whether it is loan from banks, or loan from friends it is wrong following that path when it comes to trading or better still all that pertains to crypto; trading within your limits is always the best.

[Lorence.xD]

If we are trading inside our comfort zone we may take more dare decisions but if you are trading with loan amount which may not be possible so there will be loss in the returns that is why some users never wanted to take loans for risky investment and that is the right thing as well. You can invest lend amount on something which gives assured returns and its more than the inflation rate or else its not worth to invest.

If you are confident with your skills, you can definitely use loans to fund your trading regimen, but be careful with the loans you are going to use, make sure that the loan you are can be paid easily even if you are experiencing hard times when you are trading, you do not want your credit score to be affected with these, a piece of advice for traders is to have a safety net to help when you are experiencing a financial fall out, having a safety net like emergency fund or a day job helps a lot when you are a trading newbie, we will experience losses no matter what and it is up to us on how we handle thigs.

[Latviand]

There is a big risk involved, and besides, even though your friend is good at trading, we really don't know what's going to happen in the future, so it still 50/50, depending on your risk appetite.

In trading, there is no invulnerable when it comes to risks, there is always a risk, that's why it requires a skill in order for you to succeed and win in trading. Making strategies based on the speculations and prediction will be helpful for you to minimize the risk of losing your money than getting huge amount of profits.

I know someone who borrowed money from a bank to buy Bitcoin in December 2018, when the price is around $3000.

Right now we can say that it was a bold move, he just hold on it and I think did sold some around June 2019 when the price hit $13000 and repaid the loan. Well that is one success story, but what if the market goes down up to this point?

That's the reason why you should seize any opportunity that you can grab as much as possible so that you will have no regrets and you will not miss the chance to grow and improve your trading skill and quality.

He's lucky enough because he have great skills so that he can paid his loan using his profit. That's a good strategy and yet very risky, because what if there's a circumstances that he panicked when the market goes down and he lose all his money. If that happens, maybe that's the time where he is doomed by the market,  probably his life will become miserable as he loses the money that he only borrowed in the bank.

[deisik]

I know someone who borrowed money from a bank to buy Bitcoin in December 2018, when the price is around $3000.

Right now we can say that it was a bold move, he just hold on it and I think did sold some around June 2019 when the price hit $13000 and repaid the loan. Well that is one success story, but what if the market goes down up to this point?

That's the reason why you should seize any opportunity that you can grab as much as possible so that you will have no regrets and you will not miss the chance to grow and improve your trading skill and quality

This implicitly suggests what you are trying to grab at is indeed an opportunity

If you are certain of that and this certainty doesn't stem from primitive wishful thinking or delusion, then for all fucks and sakes go for it. With that said, though, let me guess, the guy who had borrowed money from a bank to buy Bitcoin when its price was around 3k was flying blind. Of course, we are all wise after the event and in hindsight, and now that decision looks like a rational choice to us, but that's simply because we know what the price was after that. However, we couldn't know what it would be at the moment

[rexxarofmoknathal]

I have a friend who has quite great trading skills, almost every trade he manages to make a profit. But I see he always uses capital
under $ 500.If in my opinion he should use a large capital of at least $ 5,000 to get greater profit. I suggest to him to borrow from
the bank as trading capital, but he refused with the reason too risky and insecure. I want the opinion of you members of this forum,
whether to use capital from bank loans unsecured and risky if used trading by traders who have good skills? even though in my opinion
safe as long as we can make a profit and smoothly repay loan installments to the bank.

Well it seems to me that your friend is taking a calculated risk with an amount he can probably afford to lose if he ends up with a loss. The thing with loans from banks is that obviously you'll have to pay an agreed interest rate on top and that would increase exponentially with the loan amount. Even if the person has great trading skill sis important not to overstep those fine trading boundaries as sometimes one tiny mistake can lead to huge losses and in the case of your friend I think he's doing well - he might not feel comfortable with a 10x increase in loan.

As for you, remember it's important to not get too greedy.

[peter0425]

I have a friend who has quite great trading skills, almost every trade he manages to make a profit. But I see he always uses capital
under $ 500.If in my opinion he should use a large capital of at least $ 5,000 to get greater profit. I suggest to him to borrow from
the bank as trading capital, but he refused with the reason too risky and insecure. I want the opinion of you members of this forum,
whether to use capital from bank loans unsecured and risky if used trading by traders who have good skills? even though in my opinion
safe as long as we can make a profit and smoothly repay loan installments to the bank.

i always discourage people here that will use Loan or credit amount just to invest in crypto even how Good you are.
because you are risking not only your chance but also the funds of others.
If you are really good then Use your ability to make money little by little then gather all the money to start investing int his way you and yourself is the only at risk and you have no obligation for others.

[wozzek23]

I believe loan for trading purposes will not work even for highly skilled traders. I believe you are referring with "great ability" the professional traders. Yes even for professional traders, loan as the capital might be playing as a negative catalyst because they will be feeling extra pressure on their trading because they need to repay the loan from the profits they are making. When you are not able to fully focus on your trading and its related decision-making then there are a lot of chances for you to miss out something which will be leading to big losses because trading requires your attention at each and every moment.

I believe already a lot of traders might be getting loan for their trading purposes and if you notice their current loan is not the first  loan. I mean is they are good at trading then it means they are good at profit-making then what is the need for them for continuously getting loan for their trading purposes?

Starting with the small capital and then building your own big capital from profits on monthly basis will be helping any trader to sustain in long run and definitely loans will ruin all your trading capabilities regardless of how great you are previously.

[BitcoinTurk]

I have a friend who has quite great trading skills, almost every trade he manages to make a profit. But I see he always uses capital
under $ 500.If in my opinion he should use a large capital of at least $ 5,000 to get greater profit. I suggest to him to borrow from
the bank as trading capital, but he refused with the reason too risky and insecure. I want the opinion of you members of this forum,
whether to use capital from bank loans unsecured and risky if used trading by traders who have good skills? even though in my opinion
safe as long as we can make a profit and smoothly repay loan installments to the bank.

This is a very risky thing and is not recommended by many. Although there are many successful traders, I definitely do not recommend your friend to trade with debt money because nobody can always earn money. Especially when the amount of debt you are talking about is a difficult amount to pay, this situation will wear the person out and stress. My advice to your friend is to continue to trade with his current capital patiently and reach his target by growing his own capital. In the event of a loss of money from transactions with debt, not only material damage but also moral damage will occur, which will adversely affect your psychology. For this reason, I definitely do not recommend doing such a thing.

[Findingnemo]

If we are trading inside our comfort zone we may take more dare decisions but if you are trading with loan amount which may not be possible so there will be loss in the returns that is why some users never wanted to take loans for risky investment and that is the right thing as well. You can invest lend amount on something which gives assured returns and its more than the inflation rate or else its not worth to invest.

If you are confident with your skills, you can definitely use loans to fund your trading regimen, but be careful with the loans you are going to use, make sure that the loan you are can be paid easily even if you are experiencing hard times when you are trading, you do not want your credit score to be affected with these, a piece of advice for traders is to have a safety net to help when you are experiencing a financial fall out, having a safety net like emergency fund or a day job helps a lot when you are a trading newbie, we will experience losses no matter what and it is up to us on how we handle thigs.

Nahh, even if you ae highly experienced trader you may not be in profits all the time that is why you should start trading with your savings not with the loan money.

[tbterryboy]

Using loan in a business makes sense because you are also making more profits thanks to the money you got, using it on trades makes no sense because you will only earn more but lose more as well, it is not a permanent increase in trading, it is a temporary one because you will end up paying that loan back with the trading income so you need to make more profit than the loan repayment and make it quick as well, which would hurt you a lot more.

In a business let's say you have a factory and you manufacture something and you get orders a lot bigger than you can produce that quickly, you get a loan and you make your factory twice as big and suddenly you can manufacture five times more products, you could pay the loan back with the constant income you have that is not stopping. Trading is nowhere near that so it makes no sense to get a loan thinking it is a business.