Kevin O’Leary, O’Shares Investments chairman and star of TV’s Shark Tank, remains committed to crypto even after losing his investment in FTX.com but said that the industry will become more regulated, speaking in an interview with CNBC last Friday.
See related article: FTX bankruptcy and fallout; Tuesday updates and commentary
Fast facts
- “There won’t be another situation like this for institutional investors ever again, we’re simply not going to put capital to work until this stuff gets regulated,” said O’Leary, adding that he will take the push to Washington.
- Notable cryptocurrency bills, such as the Central Bank Digital Currency Study Act of 2021 and the Digital Commodities Consumer Protection Act of 2022, have been introduced to the U.S. Congress but have yet to be passed.
- O’Leary said that U.S. regulators should start by passing the Stablecoin Transparency Act that was brought to Congress in March, which would require issuers of stablecoins to publish monthly reports on reserves and undergo third-party audits. Stablecoins are defined in the bill as digital assets backed by a non-digital currency on a one-to-one basis.
- “If I’m going to put serious capital to work in a broker-dealer, in an exchange, it’s going to be one that’s regulated, has transparency, and has the same rules that every other exchange that deals in stocks and bonds have,” added O’Leary.
- O’Leary maintains that he is “a huge advocate” for the potential of blockchain and cryptocurrencies, calling the recent crash in token prices “the bottom of the crypto market.”
- The Canadian businessman and television personality signed a multi-year contract in 2021 to serve as a spokesperson for FTX and promote its brand and affiliates.
See related article: Crypto prices recover amid plans by Binance, others to aid cash-short projects post FTX failure
