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Redditor up 25% After Boldly Taking Out $59K Worth of Personal Loans to Buy BTC

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So far, the trader has accrued 2.65 BTC at an average price well under the current level of around $30,000.

A Redditor and member of the r/CryptoCurrency community claims to be up 25% or $19,500 after taking out three personal loans worth a combined $59,000 to buy Bitcoin  over the past 18 months.

According to the crudely named r/Vaginosis-Psychosis, they now have a total of 2.65 BTC, which is worth $80,400 at current prices and are betting big on the price of BTC hitting $100,000 by early 2025.

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In a June 30 post on r/CryptoCurrency, the user gave a run down on how they approached the risky method of getting their hands on BTC.

Post on r/CryptoCurrency. Source: Reddit.

The first two loans were taken out in February and June of 2022, totaling $15,000 and $20,000 apiece. They had a fixed annual percentage rate (APR) of 6% and 4.9% each, with monthly payments totaling $225 and $326.

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The third loan worth $24,000 was taken out in June 2023, with a fixed APR of 8% and monthly payments of $405.

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So far, the Redditor claims to have paid off the $15,000 loan in May, along with chipping down $3,500 on the second loan. From here, they plan to attack the most recent loan, as that has the highest APR.

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Including interest paid, they claim to have accrued BTC at an average price of $24,000 or $22,264 when not including interest paid.

“The way I see it, the US dollar is rapidly declining in value and prestige. Therefore, I will take out loans to buy Bitcoin and pay back said loans with inflated dollars that I earn from my job.”

“I don’t expect Bitcoin to be trading in this range 18 months from now. I expect BTC to be ~$100K per coin by then, so I’ll bite the bull of a short-term high APR for the long-term exponential price appreciation of Bitcoin,” they added.

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The post has more than 500 comments at the time of writing, with some supportive of the idea, while others have warned of the dangers of such an approach.

“Taking [a] loan for crypto investing sounds like a horror story to me,” the top comment with 457 upvotes from user r/middlemangv reads, with r/NotAdoctor_but adding: “Because it is. This is survivorship bias at its finest, also OP took a calculated risk, most won’t.”

Comments on the post. Source: Reddit.

Giving further context, the Redditor stated that they are single with no kids and earn around $60,000 from their job annually. They also said they have an affordable renting situation and are happy to invest 25–30% of their income into BTC monthly.

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As such, the major risks in this instance would primarily be around the price of BTC crashing heavily and not recovering over the next few years or losing their holdings via a hack if they keep them in a hot wallet.

Maintaining employment would also be vital to keep chipping the loans down.

“You seem able to pay this. A win here can change your life. A ‘loss’ i.e., BTC doesn’t go above $35K for three years +, would just mean another year of work. Worth the risk, congratulations OP,” wrote user r/Kakoyiannaros.CRYPTOCASTER® - DECENTRALIZED FREEDOM!
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