Exclusive: Buy cryptos that have utility value, says Mark Cuban
Asserting that the price of tokens is the least important and least interesting aspect of cryptocurrencies, billionaire investor Mark Cuban advises investors to buy digital currencies with real utility value.
In an interview with Moneycontrol, Cuban said cryptocurrencies should be regulated “optionally” with the choice of a minimal listing with OTC and pink sheets.
Pink sheet, or over-the-counter (OTC) securities, refer to stocks and assets that are not listed on a major exchange and are traded through a broker-dealer network.
Token speculation
“I don’t think anyone should speculate on tokens. I think they should look at what applications they use and buy tokens to use for those applications,” the Dallas Mavericks owner said. “There is far too much token speculation. The pricing of tokens is the least interesting and least important aspect of crypto.”
“Being able to do things that you can’t do without crypto, like smart contracts enabled apps like DeFi (decentralised finance) and NFTs (non-fungible tokens) and being able to buy carbon offsets or insurance and hopefully, future impactful apps, are what makes tokens important,” he added.
The avid crypto enthusiast suggested optional regulation of cryptocurrencies, preferably under the Commodity Futures Trading Commission (CFTC).
“There are tens of thousands of equities that have the option of possibly registering with the NYSE or Nasdaq or doing a minimal listing with OTC and Pink sheets. The same options should be available to tokens,” the Shark Tank star said.
Ethereum Merge
Cuban said the anticipation over the Ethereum Merge, the much-anticipated upgrade of the virtual currency to a more energy-efficient network, is one of the credible reasons behind the rally in the
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