It honestly surprises me at this point when I hear someone who's generally deeply involved and invested in the crypto world, and they've sold their coins instead of kept them by using them to get loans when they needed money.
For some perspective, on a 6 month loan you would have taken it out with Bitcoin in the $5000's. Depending on how much cash you took out and spent, Bitcoin trading in the mid $8500's today means if you took out $3000 USD, your loan could already be fully paid off just by the increase in bitcoin's value - now your loan is paid back, AND you get all your crypto back.
Oh, and I should probably mention - it's all tax free! A loan is not considered income in the vast majority of countries.
Someone please explain to me - why isn't everyone doing this?
Curious, I browsed several crypto themed online communities trying to gather what some misconceptions may be. I spotted many people seeking a bitcoin loan shark, or try to get a bitcoin loan without collateral. Well, that won't happen, there's no anonymous bitcoin loan or way to get an instant bitcoin loan from someone offering one when you have no collateral.
There is instant bitcoin loan verification however - moving into 2020 the number lenders to choose from is growing fast.
Also growing in popularity - people getting a loan to buy bitcoin, with bitcoin! It's a trick those who use generally keep quiet about.
While you'll never find crypto loans without collateral, there's so many quality crypto lending platforms you don't need to worry about putting the collateral up. Because of smart contracts and blockchain, there's no such thing as an 'unsecured crypto loan'.
However, the thing that shocks people who have taken out loans, or earned interest on funds they lent out - the flexibility in the crypto loan world.
No penalties for paying a loan off early, and in most cases if you're doing an interest earning program - the profits become available every month! No waiting for an investment to 'mature' - you get paid as you go.
As for where to start, we currently recommend:
If you're outside the US: YouHodler.
Inside the US: BlockFi.
Both have solid reputations, and enough past/present users that we've heard a lot of feedback
-------For some perspective, on a 6 month loan you would have taken it out with Bitcoin in the $5000's. Depending on how much cash you took out and spent, Bitcoin trading in the mid $8500's today means if you took out $3000 USD, your loan could already be fully paid off just by the increase in bitcoin's value - now your loan is paid back, AND you get all your crypto back.
Oh, and I should probably mention - it's all tax free! A loan is not considered income in the vast majority of countries.
Someone please explain to me - why isn't everyone doing this?
Curious, I browsed several crypto themed online communities trying to gather what some misconceptions may be. I spotted many people seeking a bitcoin loan shark, or try to get a bitcoin loan without collateral. Well, that won't happen, there's no anonymous bitcoin loan or way to get an instant bitcoin loan from someone offering one when you have no collateral.
There is instant bitcoin loan verification however - moving into 2020 the number lenders to choose from is growing fast.
Also growing in popularity - people getting a loan to buy bitcoin, with bitcoin! It's a trick those who use generally keep quiet about.
While you'll never find crypto loans without collateral, there's so many quality crypto lending platforms you don't need to worry about putting the collateral up. Because of smart contracts and blockchain, there's no such thing as an 'unsecured crypto loan'.
However, the thing that shocks people who have taken out loans, or earned interest on funds they lent out - the flexibility in the crypto loan world.
No penalties for paying a loan off early, and in most cases if you're doing an interest earning program - the profits become available every month! No waiting for an investment to 'mature' - you get paid as you go.
As for where to start, we currently recommend:
If you're outside the US: YouHodler.
Inside the US: BlockFi.
Both have solid reputations, and enough past/present users that we've heard a lot of feedback
Author: Matt Miller
London News Desk
CryptocurrencyLoaning.com - A Partner Site of The Global Crypto Press
No comments
Post a Comment