On Monday, American billionaire, entrepreneur, and media appropriator Mark Cuban sparked Twitter and said he believes in Smart Contracts while investing in the crypto industry. Moreover, tokens valuation and utility are a brand essence.
The criticality of cryptocurrency embedded in smart contracts
According to Cuban, one of the reasons for investing in crypto is because he trusts that smart contracts have the potential to create useful applications. Since the first day of exposure to the technology, he learned that the value of a token is acquired from the applications running on its platform and the utility it creates.
He specifically believes in the revolutionary power of smart contracts. A smart contract’s goal on the blockchain is to simplify business and trade between anonymous and identified parties, sometimes without needing a mediator. A smart contract reduces the formality and costs associated with conventional methods while maintaining authenticity and credibility.
He continued to urge that what isn’t generated is a universal application. Every individual should require the application in the cryptosphere, on which they are recommended to go through the learning curve. To him, he hopes for an imminent project with that everybody will be comfortable.
Cuban also gave an example of using the previous days in streaming. Individuals who had to listen to 16k streams of music were insane, as there must be an internet subscription for the dial-up modem. Also, people had to download the streaming client, the TCP/IP, and the provider client.
Moreover, he demonstrated clicking a batch file on a website and making sure it all worked together while being laughed at turning on the tv or radio. Nonetheless, the office or out-of-market was worth it. It all commenced as a niche in 1995. Currently, smart contract is about 5 years old.
Virtual assets gaining traction
Virtual currency has gained massive traction since the introduction of blockchain technology in 2008. In 2021, the crypto market capitalization was 927.4 million, expected to grow more than the CAGR of 11.1 during the forecast period.
Crypto transactions can be completed quickly, at a low cost, and in a relatively private setting. Now, anyone can send and receive cryptocurrencies using a smartphone app, hardware wallet, or exchange wallet.
In theory, crypto markets operate independently of other markets, and their price action is influenced by factors other than those that affect stocks, bonds, and commodities. Also, there is decentralization in the crypto sphere.