Taking loan for investment can be life threatening

[alastantiger]

Taking loans to invest in a business is nice, but taking loan for cryptocurrency investment is one thing i wouldn't do or advice any one to do. Becsuse cryptocurrency investment is a long term investment, so if you are taking a loan to invest in it, and maybe the time to pay back the loan may be in a month or two months time and your investment will take like a year before you profit from it. And am pretty sure that no one would take a loan to pay back another loan.
So cryptocurrency is not an investment you take a loan to start up.

[1714734428]

1714734428

[Crypto Library]

or do you have any better idea about this?

The only better idea I have is to stop that uncle from trading by depending on others person. specially where your uncle is trading with loans.  And through this he is breaking the first rule of trading. So the Idea is only to stop him from this type of trading I think he gonna in trouble. It is really stupid to give that loan money to another person who is trading in meme coin.

What would you have done if you are in my shoes?

I will firstly tell him about the horrors of investing in meme coin and I willshow him the scams of the previous history and will give him knowledge about the basic rules of trading, and then tell him if you still want to invest money in this way, do it.

[KiaKia]

Taking loans to invest in a business is nice, but taking loan for cryptocurrency investment is one thing i wouldn't do or advice any one to do. Becsuse cryptocurrency investment is a long term investment, so if you are taking a loan to invest in it, and maybe the time to pay back the loan may be in a month or two months time and your investment will take like a year before you profit from it. And am pretty sure that no one would take a loan to pay back another loan.
So cryptocurrency is not an investment you take a loan to start up.

I disagree, taking a loan to invest in business carries risks as well, I know crypto investment is highly volatile but I am in the midst of people that have use loans to build companies and big businesses, it doesn't end well, when damages and losses comes it will shift your whole business into an imbalance state, if the money is your then its a lot better, you will still be in a cool mood, because the money is yours, no reason to panic or be in worries.

I am wondering how people walk around in peace when all they are built upon is on loan, I have seen banks taking over companies once the owner died, when the owner was alive no one knew he use bank loan to establish the business, now his children are in big poverty because the bank took everything from them.

[jrrsparkles]

First of all never take loan unless you have the ability to pay back even if you lost the loan which either you invested or failed in doing a business that is why taking loan is beneficial for rich people whereas for poor it will become a life time trap.

Taking loan for someone else is ultimate stupidity in my own, I will never do that unless under emergency situation but will close the loan in few months not keep paying for it every month.

This isn't really about cryptocurrency, its our financial management skill and what are do and don't s when it comes to money.

[Chilwell]

People always think of the positive side of investment which is taking of profit, assuming they are also thinking of the other part it will have been better, it will reduce a lot of tension because nothing will be new to them. Taking loan for any investment talk less of crypto is a big threat to life, taking loan for investment is not bad thing but don't take 100% loan for investment. Moreover don't take loan to start your business, not all business people do survive for their first investment. Start with the little amount you have. As for me you have play your role very well.

[Luzin]

People always think of the positive side of investment which is taking of profit, assuming they are also thinking of the other part it will have been better, it will reduce a lot of tension because nothing will be new to them.

If you know, that I started investing no more than $50. After I was sure, within a few months I tried to go into debt. This debt is without addition when payback, so that in the end of the year I can return with the remaining profit. But if now I was given a debt opportunity, I wouldn't do that again. Even today I feel more comfortable with the capital I use. Because trading is not my main job.

So now after almost more than seven years of trading I prefer a comfortable position to adjust to my circumstances. But I respect others who have different opinions, it's natural. Don't make your investments make you suffer more with your finances.

[MiF]

Taking loan for investing is totally risky, because crypto currency is very unstable it is very difficult to predict the market and if you don't have patience  you will surely loss, but if you have a good job and you can pay the interest of the loan then it is not life threatening but still it is not good idea because you need to pay for the interest and maybe your earning will only go to the interest of your loan ang nothing will be left for you.

[Flexystar]

Friend or relative or some sort of partner, I think taking loan without a security or just on the basis of a relation could be dangerous financial decision. What would your uncle do if his friend lost everything in the process? If that person is not getting loan for himself then there is something really wrong about the credit profile of his. I don’t know it could be less CIBIL score or something that’s why they might have taken loan in the name of friend. Anyways, that’s different procedure but whole point here, it’s stupid decision to take for investment and that too for someone else. I mean if someone is asking loan to me then I would only grant one in the case of emergency. Having this for crypto investment is complete non sense. Hope they get it back in time and everything settled for good.

[palle11]

Your uncle has acted out of pity to help a friend and pity isn't enough to decide into crypto investment. I don't think there will be a solution suggestion for you because your have already invested it and if the friend is asked to resell, it may amount to losses. The best is to be optimistic that the investment is successful. He will need patient for the halving season to come and probably the friend can record some profit to return the loan but if the loan money wasn't paid back then your uncle can only lick his wound and learn from his decision and action.

[xCryptoManiaX]

I feel alive when I take risks. Would I risk the apartment I live in? No. Would I risk my daily car? Maybe, dunno. Would I risk cash I've saved? YES

Would I take a loan and risk those money by investing them in cryptocurrencies? NO.

I'm going degen all the way with the money I've saved so that even if I lose I can still live a decent life. But I would never ever take a loan in order to invest the money either in crypto or stocks.

[imamusma]

If the person receiving the budget is so trustworthy, then I think your uncle will have to be patient to get his return on investment. The main problem is, how will he pay off his loan if the investment goes bad or things don't go according to plan?

I would never consider a loan to invest, obviously to me it would only add a burden that shouldn't exist when I have a personal budget. There are many things that need to be considered when someone really wants to invest, one of which is not to make a loan. The investment risk is very large, especially if you have to entrust the budget to other people.

[Digital_Lord]

Taking loan is not good idea and I think that as the crypto is volatile so giving another person a loan is somewhat risky. I think that your uncle is not familiar with risk involved with crypto that's why he taking loan for investments. Taking loan and investment in meme coins both are risky so if a person involved in dual risk then failure will be his fate. May be the price goes up and he take profit but taking loan for doing risky work is not good idea and everyone should avoid it.

[virasisog]

Borrowing funds and taking loans would be a big help if you're a skilled trader and you're knowledgeable about crypto investment and you know that you're able to pay your debt in time. But if you're just being influenced by a colleague or anyone who is not fully equipped with knowledge of the crypto industry, you are taking too much risk. One mistake that your uncle has committed is that he trusted his friend too much and maybe that person convinced him with too good to be true profit. He'll be lucky if that meme coin would boom but he might fail if that coin would turn into a bubble.

[maydna]

Taking a loan to invest in a crypto is indeed risky because of the changing price conditions. Therefore, taking out a loan to invest in crypto is not recommended. So you better tell your uncle that he should be careful with his friend and immediately pay off the loan. That's also what I would suggest if I were in your position to get a bigger risk. But if your uncle doesn't want to listen to your advice, that's up to him and you can't do anything about it.

[tjtonmoy]

What would you have done if you are in my shoes?

I have been in this crypto world for about 2 years now. I used to only focus on alts. But as days went by I come to know about Bitcoin and all about its features. Now I have little to no interest on alt coins. Those centralized coins are just sh*t. Some are even doing a better job than bitcoin, but the only reason for them being centralized is holding them back, and nothing could change that even if they show more progress.
Now coming to your uncle's decision. I wouldn't tell him to do anything. I would only explain the situation. And if he is wise enough to understand, he will take actions based on his own decision. Tell him about risk management and the bad side of centralization. Hope he will understand and also show him the past performance of other meme coins.

[stomachgrowls]

It was an uncle of mine who took a loan on his name and sent it to a childhood friend living in America, he knew I was a crypto enthusiast and he never asked me to help him. I asked him why he took the loan for this, and he replied that the person is reliable, and his friend is a crypto trader, but he doesn't even know how crypto works.

I find out that his friend is focusing on meme coins only, he invested in crypto projects on pink sale, and the names are the type that you will laugh at when you hear them, I later told my uncle to keep praying that things go his way, he still believes that his friend is better than me and I am not trying to prove that I am better.

I hope things go well like they hope, but this is a very big concern for me, because if anything happens, he will be left alone to pay back the loan, this can be life threatening because he is old and the loan amount is a lot, or do you have any better idea about this? What would you have done if you are in my shoes?

Just let him be since its his decision after all, if he was really seeing you as a better one then he would really be entrusting those amounts to you but he didnt but rather he did trust up someone other than you.

Good thing that you do let him know about meme coins and everything on pink sale doesnt guaranteed out profits and this is where learning would really comes in on which he would really be realizing that
crypto investment is never been safe and something risky to deal with and its better to make up decisions basing up with your own analysis and never ever trust up someone
to handle up your money in behalf of yours.

[fullhdpixel]

I find out that his friend is focusing on meme coins only, he invested in crypto projects on pink sale, and the names are the type that you will laugh at when you hear them, I later told my uncle to keep praying that things go his way, he still believes that his friend is better than me and I am not trying to prove that I am better.

I hope things go well like they hope, but this is a very big concern for me, because if anything happens, he will be left alone to pay back the loan, this can be life threatening because he is old and the loan amount is a lot, or do you have any better idea about this? What would you have done if you are in my shoes?

We can't do anything if the loan is already taken and the amount is already sent out to his friend but why will worry about this mess he made? I guess you truly love your uncle but all you can do for now is to join him pray that things will go as planned by his friend and by him so that he can get more because I think the reason he agree with this is he is promised with a big interest.

I think it's also the fault of the loaning company on why they agree for your uncle to take the loan when they already saw his condition that he is now old but maybe your uncle still have a good retirement money? And is the one that he use as a collateral in case he failed to pay out the loan.

[Russlenat]

Yes, it’s really life threatening especially if you have no means to pay for it. I guess you worry a lot, which I also understand because your uncle might lost everything more than he knew it. And with that, there’s nothing you can do but prepare for the future losses. This might teach your uncle to never trust anyone especially when huge amount of money is at risk. There’s nothing you can do about it, but to wait for the result before you take a new action that will make him recover his losses. Maybe this time, your uncle will be more cautious about the risk.

[Finestream]

It was an uncle of mine who took a loan on his name and sent it to a childhood friend living in America, he knew I was a crypto enthusiast and he never asked me to help him. I asked him why he took the loan for this, and he replied that the person is reliable, and his friend is a crypto trader, but he doesn't even know how crypto works.

I find out that his friend is focusing on meme coins only, he invested in crypto projects on pink sale, and the names are the type that you will laugh at when you hear them, I later told my uncle to keep praying that things go his way, he still believes that his friend is better than me and I am not trying to prove that I am better.

I hope things go well like they hope, but this is a very big concern for me, because if anything happens, he will be left alone to pay back the loan, this can be life threatening because he is old and the loan amount is a lot, or do you have any better idea about this? What would you have done if you are in my shoes?

I guess it’s too late for you to act on it, as you can’t change the fact that your uncle’s tons of money will just go into waste because of his friend. This might give him a lesson to never invest more than he can afford to lose, otherwise he will be financially broke until he’s done paying his debt. But the problem is how he would pay his loaned money when he has no other sources of income that would generate him some profits. This would be life threatening for sure, that’s why we should always invest with high caution.

[Quidat]

Yes, it’s really life threatening especially if you have no means to pay for it. I guess you worry a lot, which I also understand because your uncle might lost everything more than he knew it. And with that, there’s nothing you can do but prepare for the future losses. This might teach your uncle to never trust anyone especially when huge amount of money is at risk. There’s nothing you can do about it, but to wait for the result before you take a new action that will make him recover his losses. Maybe this time, your uncle will be more cautious about the risk.

If you do take a loan then you are already know the risks when you arent able to repay those loans which it would really be that normal that you would be putting yourself into a huge problem.
This is why its really that important that you should really be that mindful on what are the consequences if ever you wouldnt be able to repay a loan.Basing up on the situation on op stated
then it is something that you wouldnt really be that knowing if his uncle would be able to pay off the loan or not but the wrong thing that has been done is that he had
trusted up someone which it is really that something risky.