If you’ve been considering dipping your toes in the cryptocurrency game, entrepreneur and Dallas Mavericks owner Mark Cuban has some advice he’d like to share when it comes to crypto — specifically, Dogecoin (DOGE): “You’ve got to know why you’re investing.”
In an interview with The Daily Beast, Cuban said that it’s “easy to get lost in the hype of Dogecoin, GameStop or AMC, and I’m not saying don’t invest in those companies because they can be good investments, but you’ve got to know why you’re investing.”
“Are you investing because of some video you saw on TikTok, or a video you saw on YouTube, or a friend told you?” he adds in the interview. “Those aren’t good enough reasons. Part of the fun in investing is doing the homework, finding out companies and seeing if it’s something you agree with — and believe in.”
In March, Cuban’s Mavericks said they started to accept Dogecoin as paymentfor Mavs tickets and merchandise “for one very important, earth shattering reason, because we can! Because we can, we have chosen to do so,” Cuban said in a statement on the Mavs website at the time.
In a tweet yesterday, Cuban added that “crypto businesses make more sense than you think and valuing tokens is easier and makes more sense than you think. They are just businesses like any other, with a few HUGE advantages.”
He elaborated on the matter in a blog post, saying that while not every crypto blockchain or DeFi project will work, as “these facts are not a secret in the crypto world.” Elaborating, Cuban goes on: “There is an incredible amount of competition. So much in fact, many, if not most will not work. They will not get enough users or generate enough fees to succeed […] Crypto is brutally competitive.” However, Cuban still believes that when it comes to crypto vs. traditional, centralized businesses, “all other things being equal, I’m taking crypto every time.”
DOGE was up 7.16% in the last 24 hours, standing at $0.33 this morning, according to CoinMarketCap.