- O’Leary questions the necessity of fees, deeming ETFs impractical for long-term Bitcoin investors.
- The Shark Tank star expresses doubts about the survival chances of the 11 recently approved Bitcoin ETFs.
- O’Leary highlights potential industry giants like Fidelity and BlackRock, suggesting they may outshine others.
Kevin O’Leary, the well-known entrepreneur and investor often seen on the hit TV show Shark Tank, has voiced skepticism about the newly approved Spot Bitcoin ETFs. In a recent interview with Fox Business, O’Leary shared his reservations, claiming that these ETFs may not mark a significant turning point for the US crypto industry, cautioning investors against participation.
Despite the recent trend of some ETF issuers waiving certain fees, O’Leary emphasized that fees, in general, remain a concern for him. In his blunt style, he questioned the wisdom of investing in Bitcoin ETFs, stating, “If you’re naive and hold Bitcoin as digital gold for the long term like I do, I would never buy an ETF. Why should I pay these fees? They are completely unnecessary and add no value to me.”
O’Leary went on to express doubts about the survival prospects of the 11 Bitcoin ETFs recently approved by the SEC. Without making distinctions among them, he cast a shadow over their future, suggesting that only two or three might emerge successfully, aligning with a prediction made by Galaxy Digital CEO Mike Novogratz.
In an interesting twist, O’Leary did highlight the potential success of industry giants like Fidelity and BlackRock in the ETF space, attributing it to their formidable sales forces. However, he maintained his overall skepticism about the new wave of ETFs.
Despite his reservations, O’Leary acknowledged the significance of SEC-approved ETFs in advancing the crypto industry. He sees them as a crucial step forward, even as he questions their practicality for certain investors.
Turning attention to broader market implications, O’Leary hinted at possible regulatory scrutiny on digital payment systems, specifically mentioning dollar-linked stablecoins. He sees this as an important development following the ETF approvals but believes it’s still the early stages, likening it to the “first round.”
In a separate interview, O’Leary shared his price outlook for Bitcoin, predicting a potential threefold increase by 2030. Contrary to Cathie Wood’s bold forecast of Bitcoin hitting $1.5 million by 2030, O’Leary dismissed such a scenario unless there’s a significant economic downturn in the US.
As the crypto market reacts to the ETF approval, Bitcoin, at the time of reporting, experienced a two-day decline, trading around $43,000. The 24-hour transaction volume for Bitcoin dropped by 27%, totaling just over $38 billion, with the overall Bitcoin volume hovering slightly above $850 billion. O’Leary’s remarks add an intriguing perspective to the ongoing narrative surrounding the crypto market and the potential impact of ETFs.
Disclaimer: Please note that the viewpoints and perspectives expressed by the author, as well as any individuals referenced in this article, are intended solely for informational purposes. They should not be construed as financial or investment advice. It’s important to acknowledge that investing in or trading cryptoassets carries inherent financial risks.