- Bitcoin has long been the preferred crypto of the wealthy.
- Ethereum is becoming popular among the wealthy based on its perceived usefulness and capacity to create value via smart contracts.
- Meme coins are gaining popularity because they have the potential to increase in value rapidly.
In crypto, a tweet about the cryptocurrencies that billionaires are buying can send crypto up or down in seconds. An influential billionaire like Warren Buffett might create Fear, Uncertainty, and Doubt (FUD) in the cryptocurrency market. Conversely, billionaires attempting to boost the value of their crypto assets can get their opinions into the general public sphere. All of this may have an impact on your cryptocurrency’s success.
So it’s worth watching some of the cryptocurrencies that billionaires are buying. Bitcoin (CCC:BTC-USD) is a popular choice among billionaires seeking to diversify their assets, as you might expect. Recently, Ethereum (CCC:ETH-USD) has been attracting its share of billionaire supporters. Meme coins aren’t the only ones catching attention; wealthy investors appear to be leading the crowd into get-rich-quick cryptocurrencies such as Dogecoin (CCC:DOGE-USD), which proves the adage that you can never have too much money.
Michael Saylor, a billionaire investor and prominent Bitcoin proponent, is still adamant in his bullish Bitcoin view. He regularly sends enthusiastic Bitcoin tweets to more than 2.6 million followers on Twitter. Each tweet is intended to boost the value of Bitcoin and defend his substantial Bitcoin position. A tweet at the top of his Twitter page is sure to become a classic:
“Bitcoin is a swarm of cyber hornets serving the goddess of wisdom, feeding on the fire of truth, exponentially growing ever smarter, faster and stronger behind a wall of encrypted energy.”
Saylor is a Bitcoin maximalist. That means that he believes in the power and potential of Bitcoin above all other cryptocurrencies. So it’s no surprise that the company Sayor runs, MicroStrategy Inc., has invested heavily in Bitcoin. Nor is it shocking that he recently got into a Twitter argument with fellow billionaire Elon Musk over Bitcoin. Saylor stepped down as CEO of MicroStrategy at the beginning of August, so he could dedicate more time to managing his personal investment in Bitcoin.
Mark Cuban, the wildly popular sports team owner perhaps best recognized for his appearance on the reality show “Shark Tank,” has emerged as Ethereum’s Michael Saylor. He refers to himself as an “Ethereum maxi” and vocally supports Ethereum. As he sees it, Bitcoin may be a good store of value, but Ethereum is where the real innovation is happening.
According to Cuban, Ethereum has established itself as the world’s leading blockchain in smart contracts, non-fungible tokens (NFTs) and decentralized applications. This year, Cuban revealed a significant position in Ethereum. Moreover, he appears to be doubling down on his Ethereum investment approach ahead of the Merge, a highly anticipated technological upgrade to the Ethereum blockchain.
Dogecoin and other meme coins
Elon Musk, currently the world’s wealthiest person, stands out among the most well-known billionaire investors. Musk is unique for his readiness to embrace the volatility and instability surrounding meme coins like Dogecoin. In reality, he has earned the moniker The Dogefather on social media for his significant contribution to bringing Dogecoin to prominence. He seems to take delight in being able to change the price of Dogecoin with a single tweet, and he frequently fires missives aimed at appealing to the Dogecoin community on Twitter.
In the past, for example, he shared a photo of himself and his son with identical haircuts on August 1st. The image prompted Dogecoin supporters to urge Musk to post a picture of his son and Floki, his Shiba Inu dog. When Musk obliged, he almost broke the internet. In addition to Dogecoin (CCC: DCR), people were also pumping an obscure meme coin. That meme coin was Floki Inu (CCC: FLOKI-USD), a cryptocurrency named for Elon’s dog.
If you’re looking to replicate the cryptocurrencies that billionaires are buying, Bitcoin and Ethereum should be at the top of your cryptocurrency shopping list. On the other hand, if you’re willing to take a risk, you might consider investing in a meme coin. But remember that any asset’s value may fall to zero, including crypto assets named for pet dogs.