Home Bitcoin News ‘Shark Tank’ investor Kevin O’Leary says bitcoin is too volatile for his portfolio — but says he would own a crypto ETF | Currency News | Financial and Business News

‘Shark Tank’ investor Kevin O’Leary says bitcoin is too volatile for his portfolio — but says he would own a crypto ETF | Currency News | Financial and Business News

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Kevin O'Leary
  • Shark Tank investor Kevin O’Leary instructed The Pomp Podcast that bitcoin is simply too unstable and illiquid for his portfolio however he wish to personal a cryptocurrency ETF. 
  • “Give me the highest 7 cryptocurrencies, put them into an ETF wrapper, and let me put money into it with liquidity in order that if I wish to purchase 1,000,000 {dollars} of it within the morning and promote 1,000,000 {dollars} within the afternoon, I can try this in an ETF format,” he stated. 
  • O’Leary added that if the SEC authorized a crypto ETF, extra institutional traders would purchase bitcoin.
  • Visit Business Insider’s homepage for more stories.

Shark Tank investor Kevin O’Leary instructed The Pomp Podcast on Tuesday that bitcoin is simply too unstable and illiquid for his portfolio, however he would think about proudly owning a basket of cryptocurrencies in an ETF.  

O’Leary has created a number of ETFs because the chairman of O’Shares, and he stated {that a} crypto ETF could possibly be probably the most liquid manner to purchase and promote bitcoin. The investor stated that proper now there are too many charges related to getting out and in of bitcoin, however he does personal slightly little bit of the coin proper now.

“Give me the highest 7 cryptocurrencies, put them into an ETF wrapper, and let me put money into it with liquidity in order that if I wish to purchase 1,000,000 {dollars} of it within the morning and promote 1,000,000 {dollars} within the afternoon, I can try this in an ETF format,” he stated. 

He additionally instructed host Anthony Pompliano that does not consider there shall be just one profitable cryptocurrency, and cash like Ethereum will profit when extra traders see cryptos as shops of worth and doubtlessly a medium of alternate. Whereas fairness traders should purchase a “basket of shares,” it is tougher for crypto traders to load up on a number of cash. An ETF would clear up this downside. 

Learn extra:The creator of a new volatility index for the Nasdaq 100 shares how investors can protect portfolios loaded with tech names — and explains why he thinks it’s superior to the VIX

Additionally, the seal of approval from the SEC that the ETF would require might persuade extra institutional traders to purchase bitcoin, he stated. O’Leary stated institutional assist is “slowly creeping” into the bitcoin market, however many traders are nonetheless hesitant with out “clearance from the regulators.” 

“If tomorrow morning we awakened and the SEC stated you possibly can create an ETF with bitcoin and we predict bitcoin is official fee system and storage of wealth, not solely would it not go up, you’d have lots of people like me investing in it, as a result of I would say okay, I am going to give it a 5% weighting,” added O’Leary.

Happily for O’Leary, the prospect of a crypto ETF will not be far out. In October, SEC Chairman James Clayton said the SEC is working on regulations which will someday authorize using cryptocurrency ETFs. 

 


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