Shark Tank Investor Kevin O’Leary Talks Institutional Interest in Crypto
Kevin O’Leary, also known as Mr. Wonderful and a prominent investor on Shark Tank, believes that institutional interest in cryptocurrency and bitcoin will remain strong, regardless of the U.S. Securities and Exchange Commission (SEC)'s decision on spot bitcoin exchange-traded funds (ETFs). O’Leary emphasized that even if the SEC decides not to approve a bitcoin ETF, it will not impact the long-term potential of the cryptocurrency market.
Kevin O’Leary Discusses the Impact of Spot Bitcoin ETFs on Institutional Demand
Kevin O’Leary, the chairman of O’Leary Ventures, recently shared his thoughts on how the approval of spot bitcoin exchange-traded funds (ETFs) by the SEC could affect institutional interest in the cryptocurrency market.
In a social media post, O’Leary stated that bitcoin has experienced significant growth due to the anticipation of the SEC approving the first bitcoin ETF before January 10th. However, he also highlighted that SEC Chairman Gary Gensler has not confirmed any specific timetable for a bitcoin ETF. Nevertheless, O’Leary believes that even if the SEC decides not to approve a spot bitcoin ETF, it will not hinder the long-term potential of cryptocurrencies.
During an interview on Tradertv Live, O’Leary expressed his skepticism about the SEC approving a spot bitcoin ETF. He stated that he believes Gary Gensler, the SEC chairman, will not approve it, as he has a mandate that extends for another 18 months.
Despite his doubts about the SEC's decision, O’Leary remains confident that institutional investor demand for crypto will continue to grow. He explained that the lack of institutional allocation in bitcoin and ethereum, the leading cryptocurrencies, is mainly due to regulatory approval. Institutional investors, including sovereign wealth funds, are waiting for regulators to give the green light. O’Leary previously revealed that all the institutions and major organizations he has spoken to are ready to invest in bitcoin. He stated that they are not interested in the vast number of tokens available, but rather see bitcoin as a liquid asset and a store of wealth.
O’Leary also mentioned that the approval of a spot bitcoin ETF depends on the existence of a fully compliant exchange. He expressed concerns about Coinbase, the Nasdaq-listed crypto exchange, and its ongoing legal conflict with the SEC, stating that it lacks compliance. He further emphasized that crypto regulations in the U.S. are becoming increasingly strict and believes that most crypto tokens are worthless and will eventually become worthless.
In conclusion, Kevin O’Leary is optimistic about the future of institutional interest in crypto, regardless of the SEC's decision on spot bitcoin ETFs. He believes that the regulatory environment will eventually become more favorable, leading to increased institutional allocation in the cryptocurrency market.
What are your thoughts on Kevin O’Leary's perspective? Share your opinion in the comments section below.
Frequently Asked Questions
How does gold perform as an investment?
The supply and demand for gold affect the price of gold. Interest rates are also a factor.
Due to limited supplies, gold prices are subject to volatility. Physical gold is not always in stock.
How much should you have of gold in your portfolio
The amount of capital that you require will determine how much money you can make. You can start small by investing $5k-10k. As your business grows, you might consider renting out office space or desks. You don't need to worry about paying rent every month. Only one month's rent is required.
It is also important to decide what kind of business you want to run. In my case, I am running a website creation company, so we charge clients around $1000-2000/month depending on what they order. You should also consider the expected income from each client when you do this type of thing.
Because freelance work pays freelancers, you won't likely get a monthly income if you do freelance work. Therefore, you might only get paid one time every six months.
Decide what kind of income do you want before you calculate how much gold is needed.
I recommend starting with $1k-$2k in gold and working my way up.
What precious metals can you invest in for retirement?
Gold and silver are the best precious metal investments. Both are easy to sell and can be bought easily. If you want to diversify your portfolio, you should consider adding them to your list.
Gold: One of the oldest forms of currency, gold, is one of mankind's most valuable. It is also extremely safe and stable. Because of this, it's considered a good way to preserve wealth during times of uncertainty.
Silver: Silver has always been popular among investors. It's an ideal choice for those who prefer to avoid volatility. Silver tends instead to go up than down, which is unlike gold.
Platinum: This precious metal is also becoming more popular. It is very durable and resistant against corrosion, much like silver and gold. It's however much more costly than any of its counterparts.
Rhodium: Rhodium can be used in catalytic convertors. It is also used for jewelry making. It is also quite affordable compared with other types of precious metals.
Palladium: Palladium, which is a form of platinum, is less common than platinum. It is also cheaper. Investors looking to add precious and rare metals to their portfolios love it for these reasons.
Can the government seize your gold?
Your gold is yours and the government cannot take it. You earned it through hard work. It belongs to you. This rule may not apply to all cases. Your gold could be taken away if your crime was fraud against federal government. Also, if you owe taxes to the IRS, you can lose your precious metals. However, if you do not pay your taxes, you can still keep your gold even though it is considered property of the United States Government.
Are You Ready to Invest in Gold?
It depends on how much you have saved and if gold was available at the time you started saving. If you are unsure which option to choose, consider investing in both options.
Gold is a safe investment and can also offer potential returns. This makes it a worthwhile choice for retirees.
Although most investments promise a fixed rate of return, gold is more volatile than others. Because of this, gold's value can fluctuate over time.
This does not mean you shouldn’t invest in gold. You should just factor the fluctuations into any overall portfolio.
Another advantage of gold is its tangible nature. Gold is more convenient than bonds or stocks because it can be stored easily. It's also portable.
You can always access your gold as long as it is kept safe. Additionally, physical gold does not require storage fees.
Investing in gold can help protect against inflation. It's a great way to hedge against rising prices, as gold prices tend to increase along with other commodities.
A portion of your savings can be invested in something that doesn't go down in value. Gold rises in the face of a falling stock market.
Investing in gold has another advantage: you can sell it anytime you want. Just like stocks, you can liquidate your position whenever you need cash. You don’t even need to wait until retirement to liquidate your position.
If you do decide to invest in gold, make sure to diversify your holdings. Don't put all your eggs on one basket.
You shouldn't buy too little at once. Start small, buying only a few ounces. You can add more as you need.
Keep in mind that the goal is not to quickly become wealthy. Rather, it's to build up enough wealth so you won't need to rely on Social Security benefits.
While gold may not be the best investment, it can be a great addition to any retirement plan.
Statistics
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
External Links
cftc.gov
law.cornell.edu
- 7 U.S. Code SS 7 – Designation of boards of trade as contract markets
- 26 U.S. Code SS 408 – Individual retirement account
wsj.com
- Saddam Hussein's InvasionHelped Uncage a Bear in 1990 – WSJ
- How do you keep your IRA Gold at Home? It's not legal – WSJ
bbb.org
How To
Guidelines for Gold Roth IRA
You should start investing early to ensure you have enough money for retirement. Start saving as soon and as often as you're eligible (usually around 50 years old) and keep going until retirement. To ensure sufficient growth, it is vital that you contribute enough each year.
Additionally, tax-free opportunities like a traditional 401k or SEP IRA are available. These savings vehicles allow you the freedom to contribute without having to pay tax on your earnings until they are withdrawn. This makes them great options for people who don't have access to employer matching funds.
The key is to save regularly and consistently over time. You may not be eligible for any tax benefits if your contribution is less than the maximum allowed.
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By: Kevin Helms
Title: Kevin O’Leary Anticipates Strong Institutional Interest in Crypto Regardless of Spot Bitcoin ETF Outcome
Sourced From: news.bitcoin.com/kevin-oleary-anticipates-strong-institutional-interest-in-crypto-regardless-of-spot-bitcoin-etf-outcome/
Published Date: Fri, 05 Jan 2024 03:00:52 +0000
