Cryptocurrency

Out of context: Reply #351

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  • BuddhaHat1

    https://pressreleases.responseso…

    Percentage of crypto investors who used one or more credit facilities to fund purchase, by age

    18 - 24: 70%
    25 - 34: 64%
    35 - 44: 68.9%
    45 - 54: 62.5%
    55 - 64: 45%
    65+: 25%

    When we break down what kinds of credit facilities people have used to purchase cryptocurrencies, over a
    third (35.5%) made their investment using a credit card. Almost a fifth (19.3%) funded the purchase out
    of their overdraft.

    Credit card: 35.5%
    Overdraft: 19.3%
    Personal loan: 14.6%
    Secured loan: 9%
    Payday loan: 7.6%
    Page 2
    Re-mortgage: 3.3%

    Scary figure for the youngsters borrowing to get into crypto...

    • not so scary if they are smart enough to pay off that debt fast with the gains they made.uan
    • then everybody wins. Once you have some crypto, you lend it to the crypto banks and you get interests you can use to pay off the cc debt.uan
    • ^ that's wishful thinking. Never has there been a bubble where the majority wisely took profits to pay down debt.formed
    • in a way the actual crypto system teaches you to value your coins...you see the value grow. like how the banks used to be before the 70ies I was told.uan
    • so instead of teaching you a consume mindset like what the cc banks do, you hold them and let the bank invest for you.uan
    • they use state of the art investment software and share the growth. (at least till now).
      I'm starting to believe it's built in in the algorithm of bitcoin...
      uan
    • ...it shifts your mind on the concept of value.uan
    • I totally disagree with that (but welcome to read facts to the contrary). What I see is bubbles everywhere - NFT's, etc. People have a false sense of 'wealth'formed
    • and are living like that money 'made' is already a done deal, but like stocks, until it's turned into dollars, it's all on paper.formed
    • and as Buddha posted, it's insanely leveraged, meaning that when things crash, and they always do, these kids will be not only broke, but massively in debt.formed
    • [meant to say "respectfully" disagree :-) ]formed
    • :-) I agree on the fairly common false sense of 'wealth'. But the last drop this week, the kids went 'it's a trap'. just wait it out.uan
    • as long as the price is low, they stock up more bitcoins and they only make € when they don't lose too much crypto.uan
    • Too risky for my blood. I know that if stocks drop 30-40% they'll come back, eventaully. Crypto I don't have that faith. I think if btc dropped 60-70%, whichformed
    • it could easily do in a few days, it could race to 0 even faster. I saw the dotcom bubble burst (and felt it). It can happen in the blink of an eye.formed
    • Currently, EVERYTHING is priced to perfection, which is just unstainable. BTC has no value beyond speculation. Ethereum I am far more interested in.formed

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