Shark Tank star and the Dallas Mavericksâ€™ owner, billionaire Mark Cuban has shared his updated view on bitcoin after the price of the cryptocurrency hit all-time highs. He compared bitcoin to gold but believes that bitcoin is not a solution to any problem as countries will take steps to protect their currencies.
Mark Cuban Says Bitcoin Is More Like Religion
While the price of bitcoin repeatedly hit all-time highs last week, American billionaire, Shark Tank star, and the Dallas Mavericks owner Mark Cuban is still skeptical about the cryptocurrency.
He was quoted by Forbes in an article published on Thursday as saying, â€œMy thoughts havenâ€™t changedâ€ about bitcoin, elaborating:
Bitcoin has often been compared to gold and touted as an inflation hedge. Making the same comparison, Cuban noted that â€œunlike gold, because of the finite number of BTC that will be available and the nature of HODLing, when demand outstrips supply, the price will go up and vice versa.â€
Several renowned hedge fund managers and financial analysts have even said that bitcoin will likely outperform gold, including billionaire hedge fund manager Stan Druckenmiller. Deutsche Bankâ€™s analysts recently said that investors are increasingly choosing bitcoin over gold to hedge against the dollar risk and inflation. More companies and institutional investors are also moving their funds from gold to bitcoin, including British investment firm Ruffer.
â€œI think the whole conversation about BTC or any crypto replacing fiat currency is counterproductive,â€ Cuban asserted. â€œNo matter how much BTC fans want to pretend that itâ€™s a hedge against doomsday scenarios, it is not,â€ he claimed, emphasizing:
Cuban also believes that central banks will come up with some alternatives if necessary, including central bank digital currencies (CBDCs). â€œAs we see in China and elsewhere, countries are more than capable of creating their own alternatives,â€ he opined.
The owner of the National Basketball Associationâ€™s (NBA) Dallas Mavericks concluded that â€œBTC is what it is, something that enough people have agreed upon is an investable asset.â€ Nonetheless, he insisted that â€œA banana has more utility, potassium is a valuable nutrient to every person on the planet, but as long as people accept BTC as a digital version of gold, its investable.â€ In September last year, he told Wired that he would â€œrather have bananas than bitcoin,â€ emphasizing that he could at least eat a banana.
Meanwhile, Cubanâ€™s Shark Tank co-star Kevin Oâ€™Leary said early this month that he is ready to put 5% of his portfolio into a bitcoin exchange-traded fund (ETF).
Do you agree with Mark Cuban about bitcoin? Let us know in the comments section below.
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