Billionaire investor Mark Cuban has asserted utility as the most important part of any crypto project.
He also defended Dogecoin, saying it is “good for spending.”
Mark Cuban, Shark Tank’s iconic billionaire investor, has once again come out in support of crypto. He specifically dwelled on projects with utility, and one of his favorite digital currencies – Dogecoin (DOGE).
In a Tuesday tweet, the Dallas Mavericks owner said crypto project use cases are the most important thing during investment. Here, he gave examples of smart contracts, validators, and DAOs (Decentralized Autonomous Organizations) utility. “Token trading is the least important part of crypto,” he added.
Being able to create businesses on decentralized platforms leveraging smart contracts, validators, DAOs and more create a unique ability to offer more efficient biz processes and disrupt industries.
Crypto utility breeds value – Cuban
His tweet came in response to a tweet criticizing crypto as currencies that lack value and praising companies for creating “stuff” and adding value to the economy.
“Crypto is simply exchanging currency and hoping somebody else will pay more for that currency later. There is only valuable because people believe there is value, not because something is made better,” the tweet read.
Speaking to CNBC’s Make It, Cuban echoed the same sentiments, saying:
Always look for the utility, that is where value is created,” previously noting, “smart contracts can change the world.
This is not the first time the crypto and blockchain investor has emphasized use cases as the most important aspect of crypto projects. In Nov. 2021, as Ethereum marked a new record high of $4, 634, Cuban expressed his support in it, saying it stands out because of its utility. He even called himself an “Ethereum maxi,” saying the network has smart contract functionality and is the most used blockchain in existence. In February, he complimented ETH as a better store of value than Bitcoin.
Dogecoin is best for spending
In an earlier tweet also on Tuesday, Cuban like Tesla CEO Elon Musk pointed out DOGE’s supremacy in spending compared to other cryptocurrencies. This came after a brief Twitter crypto faceoff with Pennsylvania-based entrepreneur and podcaster Preston Pysh. The podcaster pointed out that DOGE is down 80.24 percent from its May all-time high despite Cuban’s positive assessment of it. Dogecoin co-founder Billy Markus acknowledged Cuban’s stance, saying opinion misrepresentation is annoying.
Back in October, Pysh questioned Cuban’s Dogecoin commitment to that of Bitcoin. Cuban reiterated his preference in the crypto asset, saying he would continue to talk about it even with pushback from Bitcoin maximalists.
Now, in his most recent tweet, Cuban condemned Bitcoin saying it will “never” be an inflation hedge. And even though he owns some portion of the asset, he believes the words “inflation hedge” is nothing more than a marketing slogan developed by Bitcoin and gold proponents.