Billionaire Mark Cuban, who is one of the most passionate investors in cryptocurrencies, has once again made a staunch public defense of their value.
Speaking at the Ethereal Virtual Summit hosted by Decrypt on Thursday, he shared his thoughts on what the prospects for crypto are, and more importantly, explored how investment in the crypto sector could benefit individuals.
Cuban said that cryptocurrencies will never return to the “Crypto Winter” of a few years ago – a term used to describe Bitcoin’s near-miss of the $20,000-mark in 2018 and following the price crash which sent markets scurrying.
In Cuban’s words, there are too many important people involved right now, so if prices started to drop “brutally low” those investors would just buy up more to keep the currency afloat.
He discussed stablecoins and drew parallels between current savings accounts in the traditional banking system and how investing in crypto could be more beneficial or in the very least, equally helpful.
Cuban explained that investing in something such as DAI, the Ethereum-based stablecoin, wasn’t riskier than keeping savings in a 0.2% interest rate account.
“And so, unless you're stupid, you're not going to lose your capital, you're just going to lose the upside; you might lose whatever the coin is you're getting paid in, but your Ethereum is going to be locked, or your DAI is going to be locked, as a stablecoin. I don't see those taking a fall.”
Cuban also believes that Ethereum will most likely outstrip Bitcoin in the long-term, citing derivatives and market speculation surrounding Bitcoin as one of the reasons why.