Aquarium Co-Op and Girl Talks Fish both say they basically love any environment and just breed everywhere.
This is not only bad advice, it completely ignores the needs of the poor fish. From this nonsense alone I would never read let alone rely on anything these two sites post. If they get something as fundamental as the environment of Hillstream Loaches screwed up, they are unreliable period. There are times I wish we could somehow turn off the internet! The misinformation is astounding, and it is no wonder beginning aquarists get so frustrated.
Now that I've said my mind on that, to the facts. I'll cite sections from my online profile of the most common species,
Beaufortia kweichowensis.
Origin and Habitat: Xi Jiang river system in China. Inhabits shallow but fast-flowing streams that have substrates of rock, gravel, sand and boulders.
Compatibility/Temperament: Generally peaceful. In its habitat it lives in large groups; males will "defend" their territory (selected on the basis of available food) by "topping" [see further under Discussion].
Diet: A natural algae and aufwuchs feeder, it will accept algae-type sinking foods, artemia (brine shrimp), frozen bloodworms, and natural algae should be encouraged to grow on rocks and pebbles. Blanched spinach and similar greens may be offered. For long-term health, algae must be allowed to grow in the aquarium.
Water parameters: Soft to medium hard (< 12 dGH), slightly acidic to basic (pH 6.5 to 8) water, temperature 20-24C/68-75F. Water circulation must be high to provide the oxygen saturation this species requires.
Discussion [excerpted]
Their unique flattened body with horizontal fins allowing them to hold on to rocks in a strong current is indicative of the proper environment in the aquarium. A tank with sand or gravel as substrate and smooth rocks coated with algae make a suitable environment for them. Plants are recommended to ensure excellent water quality as this fish actually prefers very clean water as evident in their habitat. Provide powerful currents and surface movements to ensure very high oxygen supply and continuing comfort in their home. They will not last long if the oxygen is depleted or if any of their requirements are not met.
Tankmates are difficult to select due to the requirements this species demands with respect to bright lighting (to encourage algae), cooler water and a stronger flow from the filter. This fish is not a good companion for goldfish.
When a second male invades another's territory, one fish tries to cover the other in a test of strength, termed "topping." There is rarely any damage inflicted, and one fish eventually retreats. The dominant males claim the best algae areas as their territory, while females tend to congregate in other areas. This fish must be in groups of at least six, or it can be very withdrawn and inactive.
If one doesn't want to take my advice, there is the same given on Seriously Fish:
www.seriouslyfish.com