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Billionaire Mark Cuban says he holds 3,250 dogecoins he bought with his son - and earns added inflows from Dallas Mavericks sales

May 17, 2021, 20:56 IST
Business Insider
Mark Cuban.Chip Somodevilla/Getty Images
  • Mark Cuban said he owned 3,250 dogecoins on top of what he earned from his NBA team's sales.
  • The billionaire suggested dogecoin could become a valid payment mechanism.
  • "The unknown is whether enough people will use it this way," he said.
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Mark Cuban owns 3,250 dogecoins he bought with his 11-year-old son, the tech billionaire said in a tweet on Saturday.

On top of that, he said, he receives inflows of dogecoin from ticket and merchandise sales for the Dallas Mavericks, the NBA team he owns. In March, Cuban said his NBA team was the largest dogecoin merchant in the world.

The "Shark Tank" host said that since dogecoin is mined on a fixed schedule it could become a feasible payment mechanism.

@mcuban/Twitter

Read more: 'Wolf of All Streets' crypto trader Scott Melker breaks down his strategy for making money using 'HODLing' and 100-times trade opportunities - and shares 5 under-the-radar tokens he thinks could explode

Cuban, known for investing in unique businesses without relying too much on the stock market, has predicted that stocks will someday be traded via blockchain.

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He acknowledged on Saturday that while dogecoin may not find support over the long term, users could take it in a new direction from its original intention.

"Like all generational technologies, it takes a generation to grow up," he said. "Crypto is in the phase where users need to be educated and products and services need to be sold and deliver on their initial promises. Then, Crypto can mature to the point we wondered how we ever lived with out."

Dogecoin was trading 5% lower on Monday, at $0.50, but it is up more than 10,000% this year. Cuban's dogecoin holdings aside from the NBA team revenue would be worth about $1,690 as of Monday.

The meme-inspired digital asset has been under pressure over a series of events linked to the billionaire Tesla CEO Elon Musk. He recently suggested dogecoin could replace bitcoin payments for Tesla vehicles.

Dogecoin is one of the least stable cryptos on the market, according to Anthony Denier, the CEO of the trading platform Webull. "Since many people tie Doge to [Musk], any comments he makes about cryptos in general is going to affect Doge," he said. "Also, bitcoin leads the crypto market, so for most cryptos, whichever way bitcoin moves, they follow."

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