Billionaire investor and entrepreneur Mark Cuban has recently revealed the price of the second-largest cryptocurrency by market capitalization, Ethereum, has a “chance to blow up” even more as we have “yet to really see business applications built on ETH smart contracts start to happen.”
Cuban’s words came while replying to a tweet from TheBlock’s director of news, Frank Chaparro, who claimed that when the price of Ethereum first surpassed $3,000, he asked traders at the market’s largest over-the-counter (OTC )desks whether they believed the rally could keep going and was told that corporate treasuries “were ramping up allocations.”
In response, the billionaire pointed out that when business applications are built on Ethereum smart contracts “every company will be ETH literate.” Layer-two scaling solutions, he added, will also have “an important role to play.”
When asked whether other blockchains supporting smart contracts could also see business applications be built on top of them, including Cardano and Polkadot, Cuban replied that it’s “hard to keep up with all the different options and there really aren’t many hedging mechanisms for others.”
The billionaire also pointed out that layer-two scaling solutions will nevertheless be important. The price of Ethereum, it’s worth noting, has significantly been outperforming bitcoin. Over the last 30 days, BTC’s price dropped by nearly 6%, while ETH is up over 89%.
As CryptoGlobe reported, Cuban revealed last month he has “a lot of Ethereum” and wishes he “had bought it sooner.” In an interview, he said he started buying the cryptocurrency four years ago “simply because I think it’s as close as we have to a true currency.”
The owner of the professional basketball team Dallas Mavericks and star of the highly popular reality show “Shark Tank” also said this year bitcoin is “going to replace gold in the portfolios of a lot of people.”
