Kevin O’Leary, a millionaire investor known in the Shark Tank TV show, came up with new crypto currency comments. O’Leary, who said he had altcoin investments before, thinks there will be “complete panic” and “big volatility” in crypto markets. He believes the industry will then return to stronger firms and clearer regulations. Here are the details…
Kevin O’Leary touches on collapsing altcoin projects
Despite the recent decline of crypto finance firms including Voyager Digital and Celsius, O’Leary expects accelerated growth in the space. Before that, he said, we missed a “real big event” seen in previous market cycles. Some investors pointed to current market conditions as a result of excessively leveraged central finance firms such as Voyager and Celsius. O’Leary said the problems with firms like these stem from “stupid executives” who need to be weeded out to make the industry more livable. O’Leary used the following statements:
It is unfortunate that these companies go to zero. But in the end you come across much stronger species.
Meanwhile, Ben Samaroo, CEO of crypto investment support firm WonderFi Technologies, said the recent bankruptcies were part of the “second wave crypto crises” in Canadian history. Samaroo explained that the first “crypto crisis” in Canada was characterized by the collapse of the now-defunct crypto exchange QuadrigaCX in 2019, when $145 million in user funds was lost following the sudden death of its founder, Gerry Cotten. The WonderFi CEO thinks this second wave of crypto crises will signal regulators focusing on cryptocurrency products like Voyager Digital’s products.
What do stablecoin regulations point to?
The duo suggested that stablecoin regulation will be another major hurdle facing the industry. “The more commodities there are, the more stablecoins we need,” O’Leary said bluntly. However, he stated that they should hold stablecoins. He says it’s “good” that the Terra ecosystem was destroyed by the unbundling of Terra USD (UST) in May. But he says others cannot follow the same path. He added that Tether (USDT) may face further problems after stabilizing and dropping to $0.95 in May.
For now, USD Coin (USDC) is the stablecoin of choice on Bitbuy and Coinberry. However, Samaroo noted that exchanges can list other stablecoins as long as they don’t expose users to a “catastrophic event.” O’Leary and Samaroo appear to be focused on the long-term growth of the industry, but WonderFi was recently listed on the Toronto Stock Exchange on June 20.
Finally, it’s worth noting that Kevin O’Leary is a USDC investment. As we reported as Kriptokoin.com, the famous billionaire said that he had over 30 altcoins in his basket. Although he did not reveal every investment, he did reveal that Solana (SOL), Polygon (MATIC) and USD Coin (USDC).
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