The crypto market has become a central issue of discussion among billionaire investors recently. Some of them who have invested heavily in crypto have expressed strong confidence that cryptocurrencies are a good investment option in today’s economy.
One of such billionaires, Mark Cuban, says Bitcoin is more gold than gold. Speaking during an interview on CNBC Make It, the Dogecoin supporter said he believes Ethereum has more potential as not all cryptocurrencies and digital assets are of equal value.
Cuban had earlier stated that the price of digital assets will continue to surge if it gains more adoption.This, according to him, makes them an alternative store of value to gold.
"If you could get people to believe that it was a better alternative than gold, because of its algorithmic scarcity, the price is going to go up,” he said.
A recent report by JP Morgan confirms this position. The report shows that the growing Bitcoin adoption and valuation has made investors and financial institutions choose it as a better hedge against inflation than gold as the inflation level of the US rises. This can be clearly seen as the Return on Investment for Bitcoin is 90% this year compared gold which is down by 7%.
Another Billionaire, Barry Sternlicht, the cofounder of Starwood Capital Group has expressed a similar view. In an Interview with CNBC squawk Box, he said he is holding on to his Bitcoin as a store of Value because every government is printing its currency in excess which makes inflation inevitable.
Sternlicht also reiterated his interest in blockchain technology and sees digital assets as the answer and way to go in the future despite the high volatility of the pioneer digital currency- Bitcoin.
“I've become very interested in blockchain technology as a whole, and the digital ledger which is going to change everything, Bitcoin is a dumb coin, it has no real purpose other than a store of value, and it's crazily volatile”, he said.
The cryptocurrency industry and market has had a remarkable year so far, as its the year a country adopted the pioneer digital asset as its legal tender. El Salvador, the first nation to adopt bitcoin as its legal tender, has paved the way for other countries to begin looking into the crypto market.
In this light, Francis Suarez, a mayor in Miami, spoke enthusiastically about a motion being in place to allow its citizens to be paid in Bitcoin. This motion also covers a proposal allowing Miami residents to pay fees and taxes in Bitcoin, and also advocating that the county be permitted to hold Bitcoin on its Balance sheets.
Also speaking in an interview with CNBC today at the 20th Russian Energy Forum in Moscow, the president of Russia Vladimir Putin said that the cryptocurrency market is too young for decisive opinions. He however said that digital assets may be hoarded in the future when the market fully matures.
I am a crypto and blockchain technology fan with a love for writing to enlighten others about the revolution. This I do by writing news stories to bring the latest developments to my readers and help them stay informed about the most recent developments in the space at all times.