The owner of the NBA team Dallas Mavericks, Mark Cuban, has said “no” to investing in bitcoin-based exchange-traded funds (ETFs), one of which could start trading next week in the U.S. The Shark Tank star does not see a factor for him to invest in a bitcoin ETF, highlighting that he can buy the cryptocurrency directly.
Mark Cuban Says No to Bitcoin ETF
The Shark Tank star and owner of the NBA team Dallas Mavericks, Mark Cuban, has shared his thoughts on the heavily hyped bitcoin exchange-traded funds (ETFs). While the U.S. Securities and Exchange Commission (SEC) has yet to authorize a bitcoin ETF, the very first bitcoin futures ETF might start trading in the nation as early as next week.
However, Cuban is not planning to invest in a bitcoin ETF or a bitcoin futures ETF when one starts trading on an American exchange. Responding to a concern in an interview with CNBC, released Friday, whether he prepares to invest in any bitcoin-based ETF, the shark tank star candidly responded:
No. I can buy BTC directly.
Cuban has actually been in the crypto area for rather a long time. He previously called bitcoin “better gold than gold” due to its algorithmic scarcity, seeing the cryptocurrency as a store of value rather than a currency. He said in April:
That’s why I own bitcoin and why I never ever offered it.
The owner of the Dallas Mavericks also previously revealed that he had invested in ether (ETH), dogecoin (DOGE), non-fungible tokens (NFTs), and a number of blockchain companies. He and Tesla CEO Elon Musk see dogecoin as the “strongest” cryptocurrency for payments.
As for cryptocurrency regulation, Cuban believes that the rules are unclear and has publicly criticized the SEC for taking an enforcement-centric approach to regulating the crypto industry. “The problem isn’t that people are looking for grey areas, it’s that there rarely are defined rules. Regulation through litigation traps all the people who can’t afford a lawyer, accountant, or advisor,” he opined.
While futures-based bitcoin ETFs supply financiers with some direct exposure to the crypto market without in fact owning any coins, Todd Rosenbluth, director of ETF and shared fund research study at CFRA, discussed:
The ETF price will not match the price of bitcoin. As such, it is likely better for short-term exposure than for buy and hold long-term investing.
