Mark Cuban says Bear Market is good for the market

Billionaire investor Mark Cuban thinks the bear market, the market in which digital assets lose value, is healthy. According to the billionaire investor, a period of decline in cryptocurrencies is good for the entire market. That’s because, for him, the application and use of crypto is what matters and not the hype.

Cuban pointed out that the cryptocurrency market is still young and is facing the same problems as the Internet.

“I’m old enough to remember when investors invested in hits-based websites,” he said.

Bear Market is good for the market

A ‘hit’ was the display of any file, at the beginning of the internet. Websites carried tiny, invisible files.

“Sites boasted about these hits and how many hits they had. But it was not this wave that changed the world, it was innovation,” he pointed out.

Cuban further said that cryptocurrency projects should solve a problem and not worry about price issues. Meanwhile, for the investor, cryptocurrencies should improve productivity and create new opportunities.

“DeFi, ReFi, smart contracts create new business applications and benefit consumers,” he analyzed.

As the billionaire highlighted, the challenge in the market is to separate the good from the bad projects. But the bear market solves this by “cleaning up” the market. According to Cuban, blockchain technology will go through the same evolution as early computer network technologies.

The famous investor also argued that decentralized storage can make file storage cheaper. All of this, he says, is important for the health of the market, just as it happened in 2017, when the 2018 bear market “cleaned up” ICOs.