A 22-year-old software engineer with Google has revealed that he lost about Rs 67 lakh by investing in crypto on margin. Ethan Nguonly from Orange County, California has an investment portfolio that currently includes more than Rs 1 crore in retirement and brokerage accounts. He bought the cryptocurrency using borrowed money. According to reports, the techie started investing in the stock market with the help of his parents before he was a teenager.
The techie claimed that he lost Rs 67 lakh in crypto between November 2021 and June 2022. This includes Rs 24 lakh of his original investment and an estimated Rs 41 lakh in unrealised gains.
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He further said that he had already invested around Rs 33 lakh in Bitcoin and Ethereum. He had also used a few hundred dollars in altcoins like Shiba Inu and Dogecoin. However, as Bitcoin’s price fell, the techie decided to buy more with about Rs 12 lakh of borrowed money.
While speaking to CNBC, Nguonly said, “I was investing with some money that I didn’t necessarily have. Once the crypto market kind of reversed, my losses were amplified.”
The 22-year-old, while speaking to CNBC said that he was up about Rs 42 lakh as the price of Bitcoin reached its all-time high. At the end of 2021, however, the crypto market plunged and following that Bitcoin’s price crashed over 70 per cent.
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Nguonly began his journey towards achieving financial freedom quite early, right after completing his college degree. It was his parents who made him aware of the importance of savings. They taught him why investment is always considered a better way of building capital rather than storing money in a savings account. Though banks have always been regarded as the safest option, the lower interest rate will not help much in increasing the value of the fund.
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