Taking a loan to buy Bitcoin?

[livingfree]

By the way, I ponder what money related institution loans cash without any sort of collateral, confirmation or ensure that borrowers get stable.The safe way source of wage with adequate pay would've reduce the hazard abit for the moneylender and taker.

Banks can offer loans without collaterals as long as the amount isn't that much or you have a good credit history, they'll trust you even with you don't have any collateral to give.

But even if there's one, no one should do that.

You'll just giving a problem that you might not solve soon and will exist as your problem that you will regret.

[jaberwock]

Do you think taking out a loan makes any sense? The problem is that right now I can not do it because due to the lockdown my income is too low. I would have to wait for the lockdown to end. Then I can work night and day for a month so that I end up making like $7000 within a single month. With that I will easily get a loan of 20K maybe even 50K who knows?

Do you think it is worth it? This might be a once in a lifetime chance.

Since you already said that your income is low and even if you have work night and day, it would be a huge risk to take a loan just to buy bitcoin. It is very volatile, price could soar downwards very quickly in just a day like just what happened recently. If price doesn't recover fast, you would be in debt just to pay that loan. Just buy any amount that you can afford without taking any loan. Even if it is a small amount but you buy consistently like per week or month, it will definitely be worth it in the future.

That is exactly the type of person who should not take out a loan, I have seen plenty of people who take out a loan and go into crypto because they can afford to pay the loan even without bitcoin going up, bitcoin could be zero and they would still be capable of paying the loan, those people can take out a loan and do whatever they want with it, you can take out a loan and buy just jewels if you want, who cares if you can pay for it, but if you can't pay for that loan with your income, it is 100% always a bad decision no matter what you use it for.

I have seen people who take out loans to pay hospital bills, because you know what else can you do? Die? That is not an option hopefully, yet they still failed to pay for it and their car was seized. So long story short what you take the loan for doesn't matter, how you can repay that loan is the important part.

[XZERO1]

No because in my country interest fee too much.

It's not only about high interest or other banking fees, the thing with market is you can not predict it at all, specially in short-term.

Let's say if you bought Bitcoin now and market turned totally bearish after that and you're in around 20-30% loss then, what you're going to do next?, Bitcoin probably is going to reach $60k or even $100k in long-term but can you really wait for that to happen which could take years when the money you invested was borrowed to you?

And don't ever forget that the stress that it will cause for you since you definitely did not invest what you can afford to lose and you actually did the opposite of that and with every single percent that Bitcoin goes down after you bought, so will your debt.

[Sebas.tian]

Using loan to purchase bitcoin is a big risks to those who don't really understand the system of trading before taking such decision. Taking a loan to buy bitcoin has reduced so many traders to nothing in the market, because of the decision they took which was not a good decision .
Bitcoin is about to dump according to the information I got few days ago, for those who are waiting for the price of bitcoin to decrease to $19k like the way it was last year of March, that caused many buyers to buy in low price and hold for future. The way market look like now, is not good for any trader  to take any loan to buy bitcoin because the price can just decide to continue dumping through out the year.

[Sinjokubhi]

I personally do this during the bear market and now I'm happy that I made that decision before, but right now with the market condition, I think its too risky and remember that Bitcoin will not go up forever, expect the bear market to come in no time.

Know the risk of taking loan, and make sure that you can still pay that loan even if Bitcoin didn't go the way you want it but if you still experiencing a financial problem right now, then I will not suggest to take loan, just take it easy and work for extra money so you can invest on bitcoin without having any loans.

Yeah, I think taking on debt is a complex personal decision that shouldn't be made without great attention and financial considerations. With Bitcoin (BTC) at its highest price on the rise right now, some neglected Bitcoiners have started taking out bank loans to increase their position on assets. Although this may seem like a short path to wealth to some, but it is precisely this action that is most risky to undertake, given the inherent volatility in that space.

Because we don't know the exact ups and downs of a currency's price. Predicting and analyzing it is not entirely on target. Given also the balance of market supply and demand, prices certainly will not be stable continuously. Therefore, I think taking a loan for Bitcoin needs serious consideration and preparation. Why is that? If we don't consider all the risks and consequences, we will only think about the benefits that will be obtained after borrowing money and investing it or trading it for Bitcoin. But the benefits will not be the same as the risks that will be obtained when what we get is a loss. If we take a loan considering all the risks and consequences, surely we will prepare a way or reserve to avoid or deal with it.

[randegibran]

Not good way if you load using bitcoin, I have tread discussion on this forum give loan with btc and ethereum, I think much profit get by this person give loan and payment using bitcoin or altcoin. I see he use higher fees depend how long loan take time. but only with trusted reputation account can get loan from him.

[ChrisPop]

I don't think taking out a loan is a good idea. I mean it depends on your financial situation and on the interest you will have to pay on it, but anyway I wouldn't take the loan unless I have income-producing assets of at least 500k euros and a strong active income flow (job or business).

I am well aware of the fact that Bitcoin is starting to look more and more like a strong alternative to gold as a wealth preservation instrument, but it still has its risks.

Do you think it is worth it? This might be a once in a lifetime chance.

You don't need crazy capital gains to get wealthy. You can always build and grow a business that could bring you exponential gains. Also the market is full of small companies, penny stocks, etc. so if you have the expertise and eye for analysing this kind of assets you can make some pretty hefty returns there as well.

[randegibran]

Why not take loan on the bank without use bitcoin, did you see how bitcoin price increase last one year from $10,000 and now bitcoin have raise above $50,000. how come when the first time you take loan when bitcoin still $52,000 and one month later as payment time bitcoin raise above $60,000 how much fees have you pay.

[bakasabo]

The problem with taking loan for Bitcoin is that people and institutions you borrow from will time to time remind about them and will ask for a partial repay of the debt. I doubt that someone will lend money and simply wait till Bitcoin grows. Not to lose faith in you and reputation, you must give them something in return for long waiting.

I remember the rule that when you invest in cryptocurrency, you must be ready to lose that money. With that rule, borrowing is not allowed. If you dont have your own money, dont bother risking others. I think that according to statistics, those the amount of those took loan and had lost, are greater than those who got profit. I havent seen statistics, but I have inner feeling  that it is like that.

[ChrisPop]

Why not take loan on the bank without use bitcoin, did you see how bitcoin price increase last one year from $10,000 and now bitcoin have raise above $50,000. how come when the first time you take loan when bitcoin still $52,000 and one month later as payment time bitcoin raise above $60,000 how much fees have you pay.

Don't take me wrong, I do believe Bitcoin is here to stay and has a bright future, but the decision to invest using money you don't own based on past performance is not even close the best way to approach the financial markets.

Having peace of mind is much more precious than making hefty monetary gains, trust me.

[randegibran]

Why not take loan on the bank without use bitcoin, did you see how bitcoin price increase last one year from $10,000 and now bitcoin have raise above $50,000. how come when the first time you take loan when bitcoin still $52,000 and one month later as payment time bitcoin raise above $60,000 how much fees have you pay.

Don't take me wrong, I do believe Bitcoin is here to stay and has a bright future, but the decision to invest using money you don't own based on past performance is not even close the best way to approach the financial markets.

Having peace of mind is much more precious than making hefty monetary gains, trust me.

I think use loan from the bank is good way because money value keep the same not like bitcoin, first day we take loan maybe have double price on payment time coming, very risk if try to get loan using bitcoin or altcoin. Maybe if you not have any option better not take loan payment using bitcoin, you will be hard how to pay later when price is up more than 100% because bitcoin price today looks raise again.

[Rana590]

I don't think it would be wise to buy Bitcoin with a loan.  In this case you should invest knowing more.  At present you can invest in Bitcoin as much as you can.  In addition, if you have little capital, you can invest in cheap coins.

[South Park]

We saw many people that invested in bitcoin using loans and for the most part they lost and the worst part is that they lost money that it was not even theirs which meant that they had to pay the debt and they got nothing to show for, personally I think people like that will never make it in the market as they are unable to wait so they can save their own money, it is not like the markets will disappear, if you take a few years to save money you could became a great trader during that time and then make money without asking for a loan.

As you said, the majority of borrowers fall into a loss but another part is still successful, maybe this probability is relatively low but why not we find out the cause of this failure? Increases our chances of becoming a successful bitcoin investor through a loan, common causes for loss are lack of knowledge and patience, emotions are also a limited part of success. In addition, the pressure from the loan and forcing yourself to succeed immediately, it easily leads borrowers to make mistakes, qualifying necessary, the loan will no longer be a great risk, it is even a bridge to shorten the path to success

You are correct when you say that I remember a few that earned money by taking loans, but the reason I am completely against it is that you are handicapping yourself unnecessarily, becoming profitable in the market is so difficult and only a minority are able to do it that asking a loan on top of that means that your chances become even lower, in fact while I never took a loan I simulated this once and it was incredibly difficult for my system to come up ahead even with the smallest interest rate available in my country.

[Question123]

For the people who taking loan to buy bitcoin in the last few years are earned more profit if the loan they got is the purposes is to hold bitcoin. But now it is risky to invest to the bitcoin if the money they use from the loan because what if you invest and the price of the bitcoin dump and you need to pay the loan that you use in buying how you will pay it and for sure it has interest that will gives you more stress.

[Benefactor]

There isn't any assurance that the benefits that you will get in crypto will beat the premium the bank forces on the credit. There is no amiss with taking a credit for exchanging however make sure that you have any back-up assets to pay your advance once you come up short in exchanging. You can't dodge misfortunes in exchanging and in the event that you just barely depend on the benefit that you may get from exchanging, that appears to be a weight to you.

[Kittygalore]

For the people who taking loan to buy bitcoin in the last few years are earned more profit if the loan they got is the purposes is to hold bitcoin. But now it is risky to invest to the bitcoin if the money they use from the loan because what if you invest and the price of the bitcoin dump and you need to pay the loan that you use in buying how you will pay it and for sure it has interest that will gives you more stress.

You're right, taking loans now that the prices are doubled than what everyone speculated before everything is far too risky to do it, unless you have the money to survive because there is a possibility that you won't get a profit for awhile, maybe as @Question123 said, if you could have taken a loan back when the prices were not pushing around 5 digits in US dollars, maybe you could've get a decent or enormous profit. Worth mentioning that loans are expensive as they incur interests which will eat away your profits anyway if you were to be late for the payment.

[carlfebz2]

It wouldn't kill me if it fails but I don't think it will fail. Even if it crashes it will come back 2 or 3 years later.

It wouldn't hurt you much if bitcoin crashes then go ahead and take a loan to buy bitcoin. As I believe bitcoin is still very good for long-term investment. A lot of influential people and big companies have started investing in bitcoin. So, the future is bright.

Then how long you would consider on repaying up those loans? Unless if you can repay it without relying into the money you had borrowed to be invested then its good but
if you are depending on it then this would really be a very bad idea.

When it comes to future then nothing is assured but bitcoin didnt really fail to impress us when it comes to that manner.All we do need is patience.

Not all would really be having that same characteristics when it comes investment or being patient.Not all would really be willing to wait and make up
decisions according on the situation they are in.

[Japinat]

Taking a loan on bitcoin is very risky, we might think that it's okay to borrow in BTC as the price is stable and we can still pay the interest, but wat if the price will pump, like for instance, you borrow 1 btc worth or $10k and suddenly in just less than 6 motnhs price went to $60k for 1 btc, I think your struggle will start.

So I would suggest not to borrow btc for personal needs, otherwise you'll face the problem I've mentioned.
I experience that...

[matchi2011]

Taking loans to buy crypto is not recommended but if you know how to handle your loans and at the same time knows how to trade and invest in bitcoin to earn profit and not losses, then you can take loans. Also, it's only you who will take the risk after all. If you loss your bitcoin and can't pay back your loans then you just give trouble to yourself. So be careful and think many times before taking any action and decision.

If you have the right knowledge and discipline, taking a loan may help you to grow your investment, but it's not
recommended as it's far better to start small without thinking of any loan.

It adds up to your aggressiveness since you are thinking that you need to have profits to cover your loaned
money and to continue surviving your investment.

[k@suy]

For the people who taking loan to buy bitcoin in the last few years are earned more profit if the loan they got is the purposes is to hold bitcoin. But now it is risky to invest to the bitcoin if the money they use from the loan because what if you invest and the price of the bitcoin dump and you need to pay the loan that you use in buying how you will pay it and for sure it has interest that will gives you more stress.

If theybreally believe that bitcoin might go higher than usual maybe taking a loan can be good as well, i am against to any loan yes but if you will look to the brighter side and to the profit that you will be getting in the long run, you can earn more from what you are having right now, but loan or debt cannot be considered an investment because that is liability so you should take care of it first then you can add your profit later on to your networth.