Ethereum’s native cryptocurrency, Ether, hit an all-time high this month at $4,878 per coin. The cryptocurrency’s price this year has largely outperformed Bitcoin, the largest crypto by market value.
Ether has some well-known fans, among them billionaire investor Mark Cuban.
While on a recent interview on the Next with Novo podcast, Cuban stated: "I have my fair share of bitcoin, but I'm more of an Ethereum maxi.”
While the term "maximalist" typically has a negative connotation in the crypto space, Cuban uses the term to describe how he prefers Ethereum over other blockchains.
To Cuban, Ethereum stands out because of its utility. In addition to being the most used blockchain, Ethereum’s smart contracts - the collections of code - power most blockchain-based projects, including decentralized finance (DeFi) applications and nonfungible tokens (NFTs).
"We're seeing a rush where there's a lot of different blockchains that are competing," he said. "When they start to put smart contracts to work, that's when we'll start to see things really level out. It's going to come down to applications and integrations."
Previously, Cuban stated that Ethereum's smart contracts "really changed everything" in the crypto space.
In a tweet he posted on October 16, Cuban stated: "I like [ether] more [than bitcoin] because I can see an unlimited number of applications that will change the biz [and] consumer world forever. And to use them, you need to buy [ether]."
Cuban has other crypto investments, including bitcoin, dogecoin, other altcoins, NFTs, and many blockchain companies.
In a previous interview with CNBC Make It, Cuban stated: "As an investment, I think Ethereum has the most upside." For him, bitcoin is more as a store of value and alternative to gold.
Despite Cuban's endorsement, potential investors need to remember that all cryptocurrencies come with risks because of their volatile and speculative nature. Financial experts advise investors to only invest what they can afford to lose.