KEY POINTS
- ‘Shark Tank’ judge Kevin O’Leary said Bitcoin volatility intimidates people like him
- The investor is worried about putting his wealth into something that is outside the regulator’s view
- He said he would like to see a Bitcoin ETF
“Shark Tank” investor and judge Kevin O’Leary thinks Bitcoin is “too volatile” but is willing to invest more in it if the Securities and Exchange Commission approves a cryptocurrency exchange trading fund (ETF).
In a recent episode of “The Pomp Podcast,” Mr. Wonderful, as he is known in “Shark Tank,” said he was more interested in wealth preservation, and Bitcoin’s volatility and regulatory uncertainty keep him from investing more in it. The investor said he is not against Bitcoin and agreed with host Anthony Pompliano that Bitcoin has been very successful this year.
“But last week it went down $ 3,000 and now it’s up again. Bitcoin is very successful this year but what will happen next year?” he said. This kind of volatility intimidates people like me in the traditional market, says O’Leary.
When Pompliano suggested that many organizations are now investing in Bitcoin, the “Shark Tank” judge said those companies only give a very minute percentage.
O’Leary said his biggest concern is that Bitcoin is not getting the support of regulators. It bothers him that doing something with Bitcoin is outside the regulators view. Bitcoin ETFs and exchange-traded funds do not get government approval, he said, adding that when people like Winklevoss twins went to the regulator for Bitcoin ETFs, they were refused permission.
ETFs are of particular interest to O’Leary because most of his wealth in ETFs is like the ones he created himself. If the Bitcoin ETF is approved, the investor said more institutions will invest in it.
“If we woke up tomorrow morning and the SEC said you can create an ETF with bitcoin and we think that bitcoin is a legitimate payment system and stores wealth, not only would it rise, you would have a lot of people like me invest in it, because I’d say fine, I’ll give it a 5% weighting, “he added, the Business Insider reported.
Shark Tank judge seemed more accepting of cryptocurrency now than last year when he labeled Bitcoin as “crypto crap” and fraudulent currency.
