Re: Why it is sometimes possible to take out a bank loan to buy BTC
Obviously, this is a huge risk. This can be illustrated by recent market events, when Trump announced tariffs, then there was a rumor about the alleged postponement, then a denial of this, then Trump himself announced the postponement of tariffs, and before that he wrote a post with the meaning "buy."
Imagine a person who bought bitcoin with borrowed money before the tariffs were announced. Maybe bitcoin will grow to its previous values by the time the loan is repaid, or maybe not. Then the consequences for the borrower will be dire.
Please tell me what consequences
? If you hodl 5 years at least, please tell me what consequences ?Either you believe in bitcoin or you don't and sell in panic. If you stay calm, there won't be any unfortunate consequences (if you've kept your seed safe, of course).
So, let's say you took out a loan for 5 years at 30% per annum (this is the average rate). You have bought bitcoin and you will keep it for 5 years. How much money will you use to make monthly loan payments? Let's say you have money, then why did you take out a loan? I do not know which country you are from, maybe you have loans there at 3% per annum or 0.3% per annum, then of course you can take out a loan and buy bitcoin for 5 years. There is probably no need to explain the consequences of systematic delays in loan payments. In the best case, this will lead to a restructuring of the loan, in the worst case, it will end with the sale of debt to collectors, and the consequences there can be very dangerous to health.
Well, this is my subjective opinion about borrowing money to invest in bitcoin.