I am looking to increase my bitcoin holdings and i am looking at taking a crypto backed loan with one of the leading platforms? i would be fine to take this loan out a few months ago but at this stage of the bull run how risky would it be ,i know a loan can be risky to begin with, but am i just playing with fire or is there a good chance it will pay off? it would be a 15000 dollar loan a 50% ltv for more information, thanks
I don’t think getting loans to cryptocurrency is the best option right now. I would say, it is not an option and I hope that you find alternatives.
I have sets of friends that have been suffering from their existing loans because of the poor decisions they had before. Imagine loaning Bitcoin amounting to around $500 during the bear market? Now look at them, they find it really hard to bring back what they borrowed as the Bitcoin went up crazily.
Bitcoin today is expected to rise up until the fourth quarter of the year. So taking loans on this period of time is not a very good idea.