Entrepreneur Kevin O’Leary has announced his willingness to invest 5% of his investment portfolio in a regulated exchange-traded fund (ETF) linked to the bitcoin exchange rate.
In addition to participating in the TV show “Shark Tank”, O’Leary is known for his skeptical attitude towards cryptocurrencies. Previously, he believed that bitcoin carries no value and is useless as an asset, and investing in it is a real madness. However, in a recent interview with Morgan Creek co-founder Anthony Pompliano, O’Leary said that he is no longer against bitcoin and even bought some cryptocurrency. He was forced to do this to familiarize himself with digital assets as part of a training course at Harvard University.
The entrepreneur is concerned about the high volatility of bitcoin and the negative attitude of regulators to it. O’Leary explained that for various reasons, he often has to interact with regulators. In the course of such communications, O’Leary is constantly convinced that regulators are wary of cryptocurrencies. The skeptic said that he is ready to invest in a bitcoin ETF, provided that such an exchange-traded fund is approved by the US Securities and Exchange Commission (SEC).
“I am ready to invest millions of dollars in a bitcoin ETF if it is clearly regulated. I need to be sure of the stibility and know that I’m not breaking anything. If the SEC allowed the creation of such ETFs and called bitcoin legal, it would be used in all payment systems and considered a reliable means of preserving values. Then the number of people willing to invest in bitcoin will grow significantly, ” said Kevin O’Leary.
He added that he prefers to diversify his investments. However, it is more difficult for cryptocurrency investors to invest in several cryptocurrencies at once, so many rely only on bitcoin. O’Leary is convinced that it is not worth keeping money in just one crypto asset, so as not to expose a significant part of your portfolio to volatility. The entrepreneur believes that exchange-traded funds can solve this problem. O’Leary is ready to allocate no more than 5% of his resources to investing in Bitcoin ETFs.
Recently, the head of the investment company BlackRock, Larry Fink, said that in the future, bitcoin may become an international asset and call into question the status of the US dollar as a reserve currency.