In a recent interview, American billionaire entrepreneur and investor Mark Cuban shared his thoughts on Bitcoin, Ethereum, blockchain-powered decentralized finance (DeFi), and non-fungible token (NFTs).
Cuban is the majority owner of the professional basketball team Dallas Mavericks, as well as one of the “sharks” on the highly popular reality show “Shark Tank” (which is aired on the ABC television network).
On January 11, Cuban took to Twitter to express how he feels about the cryptoasset market. He seems to have confidence in the ability of Bitcoin, Ethereum, and certain altcoins to survive the current speculative bubble in the same way that a few great startups, such as Amazon, eBay, and Priceline survived the dot-com bubble while the rest failed.
When asked about Bitcoin, he replied that he thinks of it as “a store of value.”
Yesterday (January 27), Cuban minted an NFT called “The RollUp 2021” and put up for sale 10 editions of this NFT (0.02 ETH for each one) on NFT marketplace Rarible.
Recently, Cuban was interviewed by Coindesk, and below are the main highlights from his comments about the crypto space.
Investing in Bitcoin
- “Most people can’t handle volatility whether it’s stocks or crypto. But more importantly as the price of BTC goes up there is an increasing pressure. It’s hard to spend $35k on a single BTC and not get nervous.“
- “HODLers don’t care. They have their stash already. But to everyone else getting involved, the volatility is high stress. If you are going to play the game you have to know how to use options, even though they aren’t that liquid.“
Bitcoin’s Upside Potential
- “Depends on how many people and institutions replace gold with BTC… The problem is that the whales control the game. There are not enough big owners of bitcoin. Too much is in too few hands. That creates market liquidity and market-maker challenges.“
Ethereum and DeFi
- “I like ETH. Obviously it’s a primary foundation for DeFi, and we will see what happens with ETH 2.“
- “We have to get through the wild west period, but there is so little friction in transactions vs traditional banking. If they can get away from fear of KYC and other regulations, and let the products leverage their advantages, it really could change banking, dramatically.“
- “The upside is truly unlimited. It is a platform for any number of amazing applications that outperform their traditional finance counterparts.“
- “You can sell anything digital using NFT. We can sell virtual Mavs gear, sneakers, art, pictures, videos, experiences, anything our imagination can come up with we can sell… The challenge is creating the market… But this is an area I’m looking to invest in.“
The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.