Shark Tank star Kevin O’Leary says a huge “huge” surge of capital could spill over into the Bitcoin and altcoin space if favorable conditions are met. Here are the details…
Bitcoin and altcoin comment from Kevin O’Leary
In a new interview with crypto phenom Anthony Pompliano, the venture capitalist says that billions of dollars in institutional capital could move to leading cryptocurrencies Bitcoin (BTC) and Ethereum, as well as ETH competitor Solana (SOL) and scaling solution Polygon (MATIC). However, he thinks that this capital flow will only happen with stablecoin regulations. O’Leary used the following statements:
While the additional compliance costs require more disclosure [and] more transparency, if we can get some regulation, it opens the floodgates of institutional capital waiting to enter the crypto market. If only one payment system, let’s say four or five different stablecoins, were licensed, it would be an extraordinary outcome because for the first time you’ll be able to get one or two or three percent indexed allocations from government funds ranging from $500 to $900 million. I’m not the only one doing this, there are others. But we talk to the managers of these funds all the time, and they say the same thing over and over. Give me some politics, show me I’m not offside with the SEC. I’ll assign you one percent, or even three percent. This applies to Bitcoin, Ethereum, Solana, Polygon [and] stablecoins as well.
So O’Leary draws attention to regulation in the crypto space and says it’s what it takes for big investors to re-enter the space. “Just give me a regulated position – that’s all they want,” he says. O’Leary also says that the regulations could likely impose a $100,000 price tag for BTC. “If you want to see Bitcoin at $100,000, this is how you’re going to do it. You will get sovereign wealth funds to allocate it to him,” he adds.
What is the latest situation in the market?
Meanwhile, cryptocurrencies are falling, as we have also reported as Kriptokoin.com. The largest cryptocurrency, Bitcoin, is trading at $19,700, down 3%. During such a negative market condition, crypto stocks such as Grayscale’s Grayscale Bitcoin Trust (GBTC) bled heavily as the fund is currently trading at a 31 percent discount to its Net Asset Value (NAV).
According to some, the distress will be exacerbated by continued sales caused by the incoming Three Arrows Capital liquidation. Meanwhile, individual investors holding less than 1 BTC are actively accumulating assets as major crypto funds take a cautious approach. Monthly entries are returning to a modest level after months of aggressive exits.
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