Several reports have been saying lately that investors looking to cash in on the popularity of Bitcoin have begun to mortgage their own home as collateral.
“We’ve seen mortgages being taken out to buy bitcoin. People do credit cards, equity lines,” Joseph Borg of North American Securities Administrators Association said. Borg also went on to express that the risks outweigh the rewards when dealing with Bitcoin. “This is not something a guy who’s making $100,000 a year, who’s got a mortgage and two kids in college ought to be invested in.”
“There definitely are some risks — it’s not a perfect technology,” Morningstar analyst Jim Sinegal said, via CBS Chicago. “If you have money in the bank, the bank is protecting your money. If you have money in bitcoins, it’s all your responsibility.”
-source via ktvt.com