Bitcoin is now beyond its former high of $20,000 but billionaire tech entrepreneur, “shark” investor, and owner of the Dallas Mavericks Mark Cuban, still won’t change his stance on the cryptocurrency.
In the past, he’s said he’d “rather have bananas” than BTC, and now, he is doubling down on his skepticism claiming that Bitcoin is more “religion” than “solution” anyone needs. Is one of the brightest minds in tech and investing this wrong about cryptocurrencies, or is there a hidden message in Cuban’s quotes that investors in the emerging asset class should be wary of?
Mark Cuban Isn’t Bananas Over Bitcoin, Skepticism Unscathed
A year ago when Bitcoin was back at highs above $10,000 around mid-year, Mark Cuban answered questions on Twitter, and one of them was about the first-ever cryptocurrency.
Cuban’s replied that he’d much rather have bananas over Bitcoin, because “a banana has more utility, [and] potassium, is a valuable nutrient to every person on the planet.”
It isn’t the first time Cuban commented negatively about the crypto asset, and his “shark” investor counterparts like Kevin O’Leary are also concerned critics.
Related Reading | Mark Cuban’s $4,000 Trickle Up Stimulus Could Provide Boost For Crypto
Recently, at the start of the month, Forbes asked Cuban his thoughts once again, and called cryptocurrency “fans” a “religion.”
“No matter how much [bitcoin] fans want to pretend that it’s a hedge against doomsday scenarios, it is not,” Cuban revealed to Forbes. “Countries will take steps to protect their currencies and their ability to tax, so the more people believe this is anything more than a store of value, the more risk of government intervention they face.”
Timeline: US government threats to Bitcoin have undoubtedly had an impact | Source: BTCUSD on TradingView.com
Church Versus State: A Showdown For Control Over Cryptocurrency Could Be Coming
The risk of government intervention Cuban is warning of, could be right around the corner. When Bitcoin was at $20,000 three years ago, the US government agreed to launch BTC Futures trading in an effort to “tame Bitcoin.”
They did, and the <span class="wpg-tooltip-term-title">Bear</span></h3><div class="wpg-tooltip-content">Bear market is defined as a decreasing set of prices for various types of assets. A bearish investor wants to profit from the movement of dropping prices. You can think of a bear, swinging his big paw downward on the investment, crushing prices.<p class="wpg-read-more"><a href="https://www.newsbtc.com/dictionary/bear/">» Read more</a><p></div>”>bear market resulted once the momentum was lost and shorting the asset became profitable.
At the height of the Facebook Libra-led rally in 2019, it was tweets from President Trump and Treasury Secretary Steven Mnuchin that marked the top. Fears of coming regulation caused an “altpocalypse” and Bitcoin turned bearish for a quick stint again.
As soon as Bitcoin approached $20,000 was when word got out that Mnuchin was considering banning self-hosted wallets, forcing cryptocurrencies to be held on centralized exchanges where hackers can access them, and defeating a core feature of the technology itself.
These could be signs, that as Cuban warns, the government is taking notice and preparing intervention. Money is how governments control and tax their citizens, and they won’t want to let that leverage slip through their fingertips.
But because Bitcoin has formed an almost religious-like following who are determined to not only hedge against doomsday-like scenarios but revolutionize the monetary system itself, the asset itself comes with an army of firepower.
Some of the world’s wealthiest and most intelligent entrepreneurs that will shape the future of the world over the next few decades, already own Bitcoin, and might not go down without a fight.
So while the government can try to intervene, the Bitcoin religion – and solution – is spreading, and it might be far too late to stop it.
Featured image from Deposit Photos, Charts from TradingView.com