Shark Tank participant Kevin O’Leary, also known as Mr. Wonderful, predicts that bitcoin will increase in value once the Stablecoin Transparency Act is enacted, which could happen soon after the November midterm elections. Crypto cannot be stopped, O’Leary emphasized, adding: “You either join the wave or get lost.”
‘Regulations Come, Bitcoin Goes Up’
On the Crypto Banter YouTube channel on Friday, Shark Tank star and chairman of O’Shares Investment Advisers Kevin O’Leary discussed why investors should hold bitcoin long.
After the midterm elections on November 8, a bill known as the Stablecoin Transparency Act may be approved by the U.S. Congress, according to Mr. Wonderful. The Shark Tank participant clarified:
This Act is very simple in nature which is why it may pass. It’s being supported by both parties and the reason that’s the case is that it makes, effectively, the U.S. dollar the default payment system worldwide.
He then went on to explain how the passage of this Act will increase bitcoin’s value. Even though it has nothing to do with bitcoin, O’Leary insisted, “you want to be long bitcoin going into that outcome because that will be the first regulation passed by U.S. regulators.” Stablecoins “will see a lot of institutional capital coming into” them, he continued.
“When you break out of the $19,000 to $22,000 trading range against the US dollar, institutions will start to smell policy, and you’ll have a real move up at that point.” I think you’ll breeze right through that, he predicted, going on to explain:
So, end of the day, regulations come, bitcoin goes up.
“Here is a question for every investor to think about,” O’Leary continued. “There’s a risk in investing in bitcoin and all crypto. There’s also risks of not investing in it.”
He elaborated: “Because if it’s true that crypto becomes the 12th sector of the S&P in the next decade, some of the value in the financial services stocks, like banks, are going to transfer to these new technologies, and you typically don’t know when that’s going to happen.” O’Leary has been saying that he expects crypto to become the 12th sector of the S&P. “What we’re missing is policy. When we get policy and the regulator regulates … The spigots of capital are going to flood into this sector like you’ve never seen,” he predicted in August.
“My thesis is you should have some crypto in your portfolio because you don’t know when that’s going to occur, and if you completely don’t have exposure to it, you may miss participating in the growth of this 12th sector of the S&P which would be a bad outcome for performance,” O’Leary concluded.
Kevin O’Leary Says You Can’t Stop Crypto and NFTs
O’Leary also shared why he feels strongly about bitcoin, cryptocurrency, and non-fungible tokens (NFTs) on Linkedin this week. The Shark Tank star wrote:
You can’t stop it, you either join the wave or get lost!
“There are people that criticize me on this, but this is one of the reasons I feel so strongly about the future of crypto and NFTs,” Mr. Wonderful stressed. “When you have new technology emerging that can drastically boost our level of productivity and improve how we process transactions globally, you have no choice but to get with it.”