„I still have cryptos from the early days of Coinbase. I’ve never sold anything,“ reveals billionaire Mark Cuban
Mark Cuban is more interested in crypto than he let on in the pastNews
The billionaire who long ago claimed to prefer bananas to Bitcoin is now using crypto terms on social media with a savvy HODLer.
In threads on Twitter likely caused by his recent comments in which he compared crypto to the dot-com bubble in Crypto Engine the late 1990s, Mark Cuban has interacted with several high-profile industry figures including Gemini co-founder Tyler Winklevoss, Gokhshtein Media founder David Gokhshtein, Tron CEO Justin Sun, and many others. The Dallas Mavericks owner discussed issues around supply and demand, transaction costs and decentralised finance:
„When using DeFi, remember that, like all derivatives, RISK NEVER LEAVES THE SYSTEM. One segment collapses, and they all risk collapse.“
He discussed with Winklevoss the nature of Bitcoin (BTC) and Ether (ETH): the Gemini co-founder described cryptocurrencies as networks, not assets like stocks.
Cuban said that the price of digital assets is determined „more by sellers‘ narratives and the principle of supply and demand than by intrinsic value“. They also force users to convert tokens into fiat currencies to realise the value gained:
„You are proving my point. Supply and demand are the ONLY thing that values BTC. As for balance sheets and devaluation, we disagree. One of the challenges of sovereign balance sheets is to value intellectual property, intangibles and cost-based assets. Perhaps you can tell me why inflation is minimal?“
„My one mistake on Bitcoin in particular was underestimating your ability,“ Cuban explained to Winklevoss. „That’s your merit, creating a narrative and generating demand for the asset. You’re the king of Get Long and Get Loud for BTC, and that’s not a bad thing.“
Continuing, the Mavericks owner admitted that he has been a HODLer „since the early days of Coinbase,“ meaning since around 2012 when the exchange was founded. This statement contradicts a comment he made in 2019, after the Mavericks offered fans the opportunity to buy merchandise and tickets with BTC. At the time, Cuban estimated that the sales had netted $130, saying that this was „all the Bitcoin“ he owned:
„I don’t think people realise that I try to test and use all these things and I’ve been doing it for years. I still have cryptos from the early days of Coinbase. I’ve never sold anything.“
This year, the billionaire has been more outspoken about crypto and blockchain, while Bitcoin was in the midst of a rally that ended at an all-time high of $42,000. Last Tuesday, Cuban jokingly announced that he will run for president of the United States if the price of Bitcoin reaches $1 million and lawmakers agree to distribute the crypto asset to all American citizens.
Bitcoin’s price is in the vicinity of $35,000 at the time of writing, so Cuban’s statement gives the crypto asset almost three years to rise by around 3,000%. While this is a theoretically possible feat, it is highly unlikely.