They borrow money to buy assets before bull run
They use borrowed money to make more money.
If u dont learn how to use DEbt to create wealth then u stay poor all ur life.
U never use loaned funds just to buy things for u if u dont have ur own money enough.
First rule you use loaned money to make money.
Stocks and crypto u borrow always before bull run and sell ur assets even the real estate when markets are booming u pay back the loan u wait the market drops u repeat the process.
If anyone start doing this no profit for wall street wealthy guys anymore thats how powerful is investing money what u borrowed.
The probelm here is that the wall streeet guys has the insider information as when the bitcoin will pump and how long the bull run will last. We, as a retailers, does not have any such information and hence we cannot time the market perfectly. What if we took loans to buy crypto and the market does not enter into the bullish phase.
Secondly, money makes you money. Rich people have all the facilties to borrow money while its hard for any common man to borrow huge amounf of money without any collectral.