How do you feel about loans on the crypto space?

[Scripture]

Why there’s a need to borrow? This only means to me that you can’t afford to trade as a newbie at all so this is not advisable and if you are going to borrow or do leverage trading without enough experience you can expect to lose everything in an instant. Trading is not that simple, don’t borrow money and be broke later on, you can trade small money without worrying on where to get funds to repay your loans. Exchanges usually offers this if you have money with them, be careful on those offers.

[KennyR]

Loan is quite complicated, and the same in other form as lending is quite common. Even in our forum we've got users lending cryptocurrency in exchange for proper collateral being settled to receive the funds. This isn't available for every user and based on the trust only the funds were provided after receiving collateral. There are platforms providing loans, but I don't know how effective is this being used by the cryptocurrency users.

[lalabotax]

Why there’s a need to borrow? This only means to me that you can’t afford to trade as a newbie at all so this is not advisable

Yes, it is actually not recommended. Especially when you are still at a newbie level, borrowing money for trading or investment is just the way to lose more money in crypto. Better to learn first and gain funds gradually, only use bigger funds in investment or trading once we really know well how they work. Those people who want instant big funds are probably too greedy. They only know to get funds from a loan (borrow), and they think easily to pay the debt. In reality, there are too many people bankrupt because of debt, and they lose everything to pay the debt, even their house.

[BuNga_cute]

Why there’s a need to borrow? This only means to me that you can’t afford to trade as a newbie at all so this is not advisable and if you are going to borrow or do leverage trading without enough experience you can expect to lose everything in an instant. Trading is not that simple, don’t borrow money and be broke later on, you can trade small money without worrying on where to get funds to repay your loans. Exchanges usually offers this if you have money with them, be careful on those offers.

I always avoid borrowing money, because it will only add to the burden on our minds. If we want to trade only use the extra money we have,
and don't force borrow money for trading, it only gives us problems later on. Especially for newbies who are inexperienced and don't have enough
knowledge about the crypto world, I said don't even think about borrowing money for trading. I say this based on my own experience using borrowed
money for trading, that made me more and more into financial problems. So if we don't have money to trade, it's better not to trade.

[calya]

Only expert traders should do something like that, a newbie trader will not really improve by much their ability to make more money from the markets while they will increase their risk many times over, making it a bad decision no matter how much I think about it.

It's not really advisable for newbies.

If there's no reason to take a loan then you better don't do it because that will just push you more down and you'll just get some debt that you may not like the result of it.

There is no problem if you really need money and you think loaning them is the answer and you'll eventually pay it with interest because you have a stable income. If that's the situation, that's good but if not, you better not initiate taking a loan.

mentalility and psychologycally will be very different when we take loan and use it in market meanwhile we have no good trading skills. alot huge risk that may take if we dont use it properly. alot reason why many exchanges release this feature, they know most of traders was greedy when looking crypto price, and by this greed they forget everything to managed. be an advantages for exchanges due of this.

[masterrex]

I have heard about this option since a long time ago on big names, such as Binance or Crypto.com, haven't needed them at the time, but, now looking at some possible loans, I encountered smaller projects that will offer the same service, but, better benefits, like Proteus Finance and was wondering if you have any other reliable crypto loan options that have used in the past

Honestly speaking I have no idea about the concept of cryptocurrency-based loans, as we all know how volatile the cryptocurrency price is so I think its hard to determine the loan amount if we pay it also with cryptocurrency if that specific cryptocurrency has heavily fluctuated, Im ask this because I didn't know much about it, and one thing I think the so-called loan has also needed collateral that's why Im not interested about it. because it doesn't make sense to me.

[Sir Legend]

Loans are a good idea to help investors, on some exchanges that provide loan services get a good enthusiasm, I've had loans on several exchanges and love when I want to invest or staking then loans are a good solution, and the payment system is very easy because we can set according to the timeframe.

[Coin_trader]

Loans are a good idea to help investors, on some exchanges that provide loan services get a good enthusiasm, I've had loans on several exchanges and love when I want to invest or staking then loans are a good solution, and the payment system is very easy because we can set according to the timeframe.

Are you sure about this? Is the loan interest is smaller than the staking reward because if I were the lender,I will not lend you money if I can earn more if I will stake my tokens. I’m not familiar on crypto loans but everything in crypto especially borrowing charge a high interest. It’s hard to believe you can get profit by loaning then staking and gain passive profit greater than the interest.

[Victorik]

I have heard about this option since a long time ago on big names, such as Binance or Crypto.com, haven't needed them at the time, but, now looking at some possible loans, I encountered smaller projects that will offer the same service, but, better benefits, like Proteus Finance and was wondering if you have any other reliable crypto loan options that have used in the past

I must really be a newbie. This is the first time I am hearing of loans in the Crypto space.
If the interest rate is not too high, then it isn't really a bad idea, but, there must be a genuine need for it, otherwise, it will be counter productive.

[livingfree]

Only expert traders should do something like that, a newbie trader will not really improve by much their ability to make more money from the markets while they will increase their risk many times over, making it a bad decision no matter how much I think about it.

It's not really advisable for newbies.

If there's no reason to take a loan then you better don't do it because that will just push you more down and you'll just get some debt that you may not like the result of it.

There is no problem if you really need money and you think loaning them is the answer and you'll eventually pay it with interest because you have a stable income. If that's the situation, that's good but if not, you better not initiate taking a loan.

mentalility and psychologycally will be very different when we take loan and use it in market meanwhile we have no good trading skills. alot huge risk that may take if we dont use it properly. alot reason why many exchanges release this feature, they know most of traders was greedy when looking crypto price, and by this greed they forget everything to managed. be an advantages for exchanges due of this.

I don't think that you'll even use it properly if you're going to take loan for trading or investing.

It's not just right because the market is too volatile at all. And as of typing this, I've remembered the reports and it was on the news that there were people that have been asking for investment and they've said that they'll trade the money and distribute the profit to each of their investors.

That means that someone would take a loan upon hearing that to a scammer as he smells guaranteed profit but all are deception.

[magneto]

I have heard about this option since a long time ago on big names, such as Binance or Crypto.com, haven't needed them at the time, but, now looking at some possible loans, I encountered smaller projects that will offer the same service, but, better benefits, like Proteus Finance and was wondering if you have any other reliable crypto loan options that have used in the past

I mean, it serves a purpose. What else is there to say about it?

Most loans are going to be collateralised and for a reason. In the cryptospace it is very difficult to make sure that people without collateral pay you back; which means that it is completely unfeasible for any borrower who is just looking for short term relief in their living expenses to get a no-collat loan.

Binance/crypto.com also have pretty high interest rates compared to traditional loans so that's also something to consider. But perhaps, it is worth it.

[Rengga Jati]

Whatever the name and mechanism, in the crypto loan or real loan, both have similarity. the risks of loa itself.
I know several reputable platforms that offer this kind of loan, but I am not interested to use this feature or service because this is too risky for me.
So, it's about the risks and how you are able to manage the funds of crypto itself after loaning. Are you sure that you can really make it and turn back the loans? And what kind of loans do you want to take in the platform?
if you are ready with the loan, the risks, and how the management, just do it based on your own risk-taking. But, if you are still confused or worried about the risks and also you are not sure enough with the money to borrow after and the management of the asset itself, better to stay away or you will be only tied up witht he loans.,

[Viscore]

I suggest you do not take the loan if you think it will be hard to repay because loans in the crypto space are similar to loans in the real world.
If you have fix job, maybe you can take the loan but I do not recommend it as we do not know what will happen later.
It is better to use what we have and grows it, and no matter if the process seems to look slowly, at least that will come from your effort to grow that thing.
Besides that, the loan will have risks and sometimes, we forget about the risk.

I guess there's no wrong in taking a loan if you use it for productive reasons, but if that will only be used for personal interest and wants, its always not advisable. Settle on what you only have. Taking loans will only be reasonable if you have other sources of income that will repay for it, but if you only rely from crypto profits, it will be hard and risky and may only give you big problems in the future.

[wxa7115]

Never going to work properly. We have "give 100 bucks worth of bitcoin and get 80 bucks worth of eth" type of loans but that is not really how a loan works. Banks look at you, look at your salary, look at what you own, look at your income, and then they decide to give you money for nothing, not nothing of course they expect you to pay them back but they do not expect you to lock money in just to give you a loan.

It means you can take that, put it in your business, grow it, earn more, and then pay it back. Here in crypto? You pay a certain amount to make sure that you do not default, well if I have the money, then I do not need the loan anyway, useless.

It is true that we do not have the same kind of loans that banks offer but this is due to the characteristics of this market, after all when you open a bank account you need to identify yourself and in the case someone wants to scam the bank then the authorities will proceed accordingly.

So unless someone like Satoshi comes along and develops a new way to give loans or this market follows definitely the fiat route then we will continue to see those loans that have very limited practical utility.

[Republikcoin.com]

I must really be a newbie. This is the first time I am hearing of loans in the Crypto space.
If the interest rate is not too high, then it isn't really a bad idea, but, there must be a genuine need for it, otherwise, it will be counter productive.

If there is nothing important to do, then there is no need to make a loan anywhere, including in the crypto space because each loan is clearly a responsibility to repay one day with the provision of interest rates at first even though it will not be too much, which is a clear burden will remain for everyone who makes a loan.
So no need to do it if there is nothing important to do.

[isaac_clarke22]

I am not really a fan of it.... although I was never really a fan of anything that would involve borrowing money that are not even made by my own hard work or effort due to how unstable crypto price are. I do not want that one day, I would have to pay twice of the principal amount of I had borrowed and topped that with interest that are going to f me over throughout.
It  is still nice that there are such innovative stuffs like this happening in crypto though.