Be Smart: Don’t Borrow for Crypto Trading
Borrowing money to trade cryptocurrencies is a dangerous gamble you should avoid at all costs. Many traders who’ve made this mistake weren’t simply naive. In 2017, some cashed in on big profits. But when the market crashed in 2018, they tried to recover by reinvesting—only to lose everything. The lesson? Overextending yourself financially can lead to disaster.
If you haven’t achieved consistent profits, stick to investing 10-20% of your total assets or no more than two years' worth of income. Always trade with money you can afford to lose—borrowing will only add unnecessary pressure. If you can’t generate returns with 10,000 yuan, debt isn’t going to magically change that.
When losses happen, use them as a chance to reflect on whether crypto trading is the right fit for you. Stay level-headed, resist the urge to chase losses, and avoid pouring more money into trades hoping for a turnaround. Patience and discipline are your best tools for long-term success—don’t let debt derail your financial future.
