Which Cryptocurrency Should You Invest In? Here’s Why Mark Cuban, a billionaire investor, Recommends Ethereum.
The cryptocurrency industry has grown in recent months, leaving investors with a plethora of options. However, because to the complex structure of the industry and market, not all cryptocurrencies are created equal, and some are valued higher than others. The bitcoin market is also less developed than markets for other real and virtual assets. As a result, if investors are to make informed judgments, they must be educated on the complexities of the crypto market.
Mark Cuban, a billionaire investor, gave CNBC an inside look at which cryptocurrencies he thinks are worth investing in. For one thing, Cuban chose Ethereum as the best of the bunch, and the key reason for his decision is that Ethereum’s blockchain includes “smart contracts.” As decentralized banking made feasible its potential to serve multiple use cases, these collections of code, according to Cuban, transformed everything. Furthermore, Ethereum’s NFTs, or Non Fungible Tokens, enabling them to be utilized for everything from 3D printing to textbooks.
In terms of size, the market for cryptocurrencies is dwarfed by other asset markets, with a market cap of $2 trillion. Bitcoin, the most well-known cryptocurrency, fell 3.5 percent to $55,360 on Tuesday, the most in two weeks. Bitcoin was trading at $57,578.08 at 5:50 p.m. ET on Wednesday, up 2.77 percent. Despite the recent decline, the most valuable cryptocurrency is still up 90% year to date and reached an all-time high of $65,000 in April. On the other hand, as of Wednesday’s close, Ethereum was trading at $3498.11.
Separately, Blackrock Chairman Larry Fink told CNBC that he had more crypto chats with ordinary people than anything else, and said he agreed with JP Morgan CEO Jamie Dimon’s long-held belief that Bitcoin is worthless. Fink, on the other hand, agreed with the growing consensus among crypto traders that digital currencies have enormous potential and are thus the assets to monitor in the future.
Despite the fact that both Cuban and Fink have hedged their crypto assets, their stated views on the asset class’s future are worth noting.