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Paying off debts is a better investment than Bitcoin or gold, says Mark Cuban

Mark Cuban, the billionaire tech businessman, owner of Dallas Mavericks and in one of the most popular show, Shark Tank, as a “shark investors,” just a few days back had given an exclusive interview with Kitco News, an outlet dedicated on covering news about precious metals. In this exclusive chat, Mark shared his opinions on investing in various assets, which included the cryptocurrency Bitcoin and gold.

When questioned about what is the safest investment currently, Cuban did not give the answer what most would have expected, by saying stocks, gold or Bitcoin (BTC). In fact, he made an argument that paying off your credit cards, student loans, or  “any debt you have” is “undoubtedly the best investment” an individual can make.

“The aim behind this is that whatever interest you have – it may be a student loan with an interest rate of 7{500c8cf8dace8cda8a572d0723319db30d7ae9c572e69fb9e7726ed8fdae7ee9}, if you pay off that loan, you’re making 7 percent. Which then becomes your immediate return, which is a lot safer than trying to pick a stock, or trying to pick real estate or something else.”

While speaking about gold and Bitcoin, Cuban revealed that he isn’t a fan of any of the two, adding that both cryptocurrencies, as well as precious metals, possess similar characteristics, terming them as “collectibles.” The billionaire investor explained that the value gold, as well as the number one cryptocurrency, is based entirely on supply and demand. However, he did pay more emphasis to the fact that Bitcoin has a slight advantage over Gold given its scarcity.

“The good news about bitcoin is that a fixed number of coins will be created, and the bad news about gold is that its mining will never stop.”

This is the second time where it looks like Cuban has changed his opinion on Bitcoin. Back in June 2017, the world’s leading virtual currency was heavily criticized by him and he also went on to term it “a bubble.”

However, by October 2017 he had contrasting opinions by going on to say that blockchain and cryptocurrencies are the next generation technologies.

Back in October, in his video “Guide to Getting Rich”, Cuban gave a tip of investing  10{500c8cf8dace8cda8a572d0723319db30d7ae9c572e69fb9e7726ed8fdae7ee9} of an individual’s life savings in Bitcoin or Ethereum. He gave a reasoning for this by terming the digital assets as “high-risk” assets. In his most recent interview with Kitco, Cuban recommends that an individual who wants to play it safe should deposit their money in banks, “just so they could have a good night’s sleep.”

Other than investing in an ICO and a digital currency hedge fund , while also launching the Ethereum-based cryptocurrency Mercury Protocol back in 2017, An announcement was also made by the notorious billionaire in January this year which revealed that Dallas Mavericks, the NBA team, which he owns, will begin accepting Bitcoin as payment for the upcoming season.

About the author

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John Mathhew

John Mathhew – The content head at Bittflex, he has done her PHD in English literature and masters in finance as well, he was introduced to the blockchain and crypto industry during her college time spending hours searching over the internet and was extremely fascinated and then took on the pace and started writing her own finance and crypto blogs. He has all the information on the subject we required and her writing skills are just fantastic. He really expresses herself beautifully through each and every article he delivers.

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