Billionaire investor Mark Cuban believes the adoption of commercial smart contracts could be the next catalyst to boost the crypto and blockchain sector.
Crypto Market Is In Intimidation Stage
This is what Cuban said during the crypto market’s current “silence” compared to the internet bubble in the early 2000s. At the time, much was overhyped and relatively similar companies still regularly collapsed. In recent years, the crypto market has painted a rather grim picture, with virtually all of the top 100 digital assets suffering double-digit losses in the past week alone. Still, there are several reasons for the recent price declines, including the Fed’s policy updates. According to Cuban, the crypto world is now going through an intimidation phase.
Crypto is going through the lull that the internet went through. After the initial surge of exciting apps, NFTs, DeFi, P2E, we saw the imitation phase as chains subsidized the movement of those apps to their chains (ala bandwidth and storage subsidies by startups in the 2000s)
— Mark Cuban (@mcuban) May 9, 2022
Smart contracts targeting commercial use
According to Cuban, blockchain projects that purely copy what everyone already has will eventually die out, because he says they are not required in every chain. Instead, he says, smart contracts should focus on commercial use and replacing software-as-a-service (SaaS) apps. He said the following about this:
“What we haven’t seen is the use of smart contracts to improve business productivity and profitability. That should be the next driver. When companies can use smart contracts to gain a competitive advantage, they will. The chains that realize this will survive.”
Currently, the network of Ethereum (ETH) is the most popular network for supporting smart contracts. However, some networks of other altcoins including Cardano, Polkadot and Solana are also regularly used for smart contracts.