Trading is a risky venture and borrowing money for trading is stupid especially when you don't have any prior experience. People lose money in trading when they get greedy.
Ideally, people won't be brave to trade with loan money if they have no good experience and capability in trading. I'm very sure that most people who use loan money in trading because they already got nice profits. However, there will be always no guarantee for the success in the next attempts. If traders only could take good profits few times, it is better to use their own money. But for the traders who understand well trading and they could prove it by getting profits in trading for few months or years, it is not so bad decision to try using loan money. However, I think those who have been successful in earning profits for months/years should have enough money for the capital. It would be a bit strange if they still have lack of money and try the option of borrowing money.
People should acquire basic trading skills and enough knowledge of the market trends before making any decision. Always start trading with a small amount and when you become an experienced trader go for a suitable amount.
This is the fundamental in trading. Traders should have no idea to make any decision if they have no knowledge and skills. Regarding using small funds, this is only for beginners. Traders who have a lot of experience, they can use any amount of money. They must have some considerations whether to use small or big amount of money on certain coins.
Spot trading is less risky than futures trading. If a person is inexperienced, he should opt for spot trading.
Exactly. Spot trading is for all level of traders, future trading should be for professional traders only. Unfortunately, there are many newbies who assume future trading is easy to do. They think basic knowledge is enough to deal with the risks. They don't know that spot is very different with future.