Mark Cuban refuses to invest in a Bitcoin ETF, instead prefers to buy bitcoin directly
Mark Cuban, the owner of the NBA franchise Dallas Mavericks, has said “no” to investing in bitcoin-based exchange-traded funds (ETFs), one of which is set to begin trading in the United States next week. The Shark Tank star believes there is no reason for him to invest in a bitcoin ETF when he can acquire bitcoin directly.
Mark Cuban Says No To Bitcoin ETF
Mark Cuban, the Shark Tank star and owner of the NBA franchise Dallas Mavericks, has spoken out on the much-hyped bitcoin exchange-traded funds (ETFs). While the Securities and Exchange Commission (SEC) has yet to approve a bitcoin ETF, the country’s first bitcoin futures ETF may start trading as soon as next week.
Cuban, on the other hand, has no plans to invest in a bitcoin ETF or a bitcoin futures ETF when they become available on an American market. In response to a query about whether he intended to invest in any bitcoin-based ETF in an interview with CNBC on Friday, the shark tank celebrity simply replied:
No. I have the ability to purchase BTC directly.
Cuban has been involved in the crypto world for a long time. Because of its algorithmic scarcity, he previously referred to bitcoin as “better gold than gold,” viewing it as a store of wealth rather than a currency. In April, he stated:
That’s why I’ve always held bitcoin and never sold it.
The Dallas Mavericks’ owner has previously stated that he has invested in ether (ETH), dogecoin (DOGE), non-fungible tokens (NFTs), and many blockchain startups. Dogecoin is the “strongest” cryptocurrency for payments, according to him and Tesla CEO Elon Musk.
When it comes to cryptocurrency regulation, Cuban feels the regulations are confusing and has openly chastised the SEC for having an enforcement-focused approach to the industry’s regulation. “The issue isn’t that individuals are seeking for grey areas; it’s that clear guideline are rarely found.” He believes that regulation through lawsuits catches all those who cannot afford a lawyer, accountant, or advisor.
According to Todd Rosenbluth, director of ETF and mutual fund research at CFRA, futures-based bitcoin ETFs give investors some exposure to the crypto market without actually holding any coins:
The price of the ETF will not be the same as the price of bitcoin. As a result, it’s probably better for short-term exposure than long-term investing.