Trading with leverage isn’t bad, the good thing about it is that it magnifies your profit. But then it also has its bad side which is magnifying your losses as well. I wouldn’t really say that it is that bad, as long as you know what you are doing and you are very sure that the decision you are about to make is going to work out and you make profit from it, if not then you are going to end up with a huge loss.
Anyone who is trading with leverage can use a little amount of money to make about 100% of what they’re trading with, but without leverage you’re making less, so This is why a lot of people like to trade with leverage. But at the same time they are taking a huge risk.
The thing is if only those that were expert traders used leverage then that will be OK; but the majority that are using leverage are newbie traders which were attracted by promises of huge profits in a relatively short amount of time, they do not see that even if they can produce short term profits with leverage sooner or later they will make a mistake and that is when no only they will lose the money they got with their leveraged traders but they will lose their seed capital as well.