Mark Cuban Says He Sold Most of His Bitcoin After It Failed as a Hedge

Billionaire entrepreneur Mark Cuban said he has sold most of his Bitcoin holdings, voicing disappointment that the cryptocurrency did not serve as a safe-haven asset or effective hedge.

CoinDesk reported on May 21 that Cuban said in a recent podcast appearance that cryptocurrencies had failed to protect against declines in fiat-currency value and geopolitical instability.

“I lost trust in it, so I cut my holdings too,” he said.

Cuban added that he had expected Bitcoin to prove a better alternative than gold when the war in Iran threw everything into turmoil.

Instead, Bitcoin fell when gold rose. It also declined when the dollar weakened, showing none of the hedge benefits he had expected.

“That was disappointing,” he said. “I’m more disappointed in Bitcoin than in the other garbage, including Ethereum.”

Bitcoin volatility has recently widened as global markets contend with geopolitical risks in the Middle East, rising US Treasury yields and inflation concerns.

Investors are watching whether Bitcoin can still play a safe-haven role and whether institutional demand will hold up.