Billionaire entrepreneur and Dallas Mavericks owner Mark Cuban shared his opinion on what happens to cryptocurrencies when all the “speculators leave.”
What Happened: In a recent episode of the Full Send podcast, Cuban described the popular meme-based cryptocurrency Dogecoin DOGE/USD as “the starter drug for crypto” because of how cheap and easy it is to transact with.
Last year, the Mavericks began accepting DOGE as payment for tickets and merchandise in addition to cryptocurrencies like Bitcoin BTC/USD and Ethereum ETH/USD.
“When people were buying and trading Dogecoin a lot, we were making thousands of dollars a week, ten thousand a week, here and there. So it was real money for us,” said Cuban.
“But at the same time, once people stopped speculating on it, people lost kind of the vibe for it.”
The billionaire investor recounted how his nine-year-old son at the time wanted to buy DOGE on Robinhood Markets Inc HOOD as his way to start investing in cryptocurrencies.
Cuban explained that, with cryptocurrency in general, you need a reason to buy the token.
“If it’s just for speculation, it’s going to disappear at some point because 95% of blockchains are going to go. There’s just no reason for them to exist,” he said.
Price Action: According to data from Benzinga Pro, DOGE was trading at $0.061, down 5% over the last 24 hours.