Mark Cuban believes crypto apps need better utility
Best known as one of the top featured investors on Shark Tank, Mark Cuban believes that a greater emphasis on blockchain applications and utility outside of finance will bring more investors back to the crypto wealth apps space and perhaps reverse the market's decline.
With so many crypto wealth apps focused on financial technology or collectables, launching a business-focused application would be one of such events that could inject positive sentiment back to the market.
Mark Cuban crypto view- True value in crypto will only be realised when blockchain UX and utility is achieved
Mark Cuban anticipates a flood of consumers if something like a "decentralised version of Quickbooks," a small company accounting management software, debuts within the crypto wealth apps market.
Mark Cuban crypto went on to say that Bitcoin is still not cheap, particularly when compared to the huge market capitalisation of other DeFi ventures.
"When you look at market caps and see a billion-dollar-plus market value of $6 billion, $8 billion, or $40 billion, you don't think, 'that's inexpensive,’ Mark Cuban crypto added. In DeFi Summer, these products were trading for less than a cent, with market values in the hundreds of millions.”
"There's no utility"
He adds that "there's no utility" even with smaller market cap cryptos, citing the decentralised exchange (DEX) SushiSwap (SUSHI) token as a relatively inexpensive investment with a $215 million market cap. But notes: Even if compensated as a liquidity provider, who will buy it from you and why?
He believes that mergers between multiple protocols and blockchains will eventually consolidate the crypto business and crypto wealth apps, as in any sector. Mark Cuban crypto said he would instead work with someone who says, “Let's do a roll-up”. Stating that, he'd support a merger of various blockchains and move crypto wealth apps and communities to just one whilst offering a token exchange or bridge from the closing blockchains to port users over.
When asked which of the crypto space's sub-sectors he was most enthusiastic about, Mark Cuban stated his interest in carbon offset DeFi tokens, which he burns to offset his carbon footprint. He also added that:
"All of them have promise, that's why they received all this money, and all of them have a reason why they think they're superior and will do well".
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Author: Emmanuel Baiden
7 years experience within the financial services sector most notably in Sales, Trading, research and writing articles within the crypto space. I have a bachelor's degree in International Business and a Master's in Investment and Risk Finance . I am also an associate member of the Chartered Institute for Securities and Investment.