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Journalist
Tanzeel Akhtar
Journalist
Tanzeel Akhtar
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Why Trust Cryptonews
On Wednesday, Shark Tank’s Kevin O’Leary made a virtual appearance at ETHDenver, one of the largest blockchain conferences in the U.S., addressing a DeFi-focused audience.
He explained why he maintains a 5% Bitcoin allocation as part of his investment strategy and why he prefers USDC for its transparency.
O’Leary’s Take on Bitcoin and USDC
Known for his sharp business acumen, O’Leary has been both an advocate and critic of the blockchain industry, offering strong opinions on its future.
During his ETHDenver session, he noted that many investors focus on Bitcoin’s price fluctuations rather than understanding its underlying value as a digital asset.
“It has worked. We still hold it, monitor it daily, and stay informed. Whether you’re a family office, a hedge fund, or an institutional investor, you can’t ignore the numbers—they tell the story. I don’t see any reason to exit my Bitcoin position. Why would I? What possible reason would I have for that?” O’Leary said.
He compared Bitcoin to gold, arguing that, like gold, Bitcoin’s value is rooted in scarcity and market demand.
While Bitcoin is still in its early stages, O’Leary suggested investors could allocate 1–3% of their portfolios to the asset.
O’Leary also stated that he owns USDC, though not in large amounts, and prefers it over other stablecoins due to its full one-to-one backing and transparency.
“I also have a lot of respect for Jeremy, the CEO, and have known the team for a long time. Ultimately, it’s just my personal preference,” he added.
Regulatory Challenges & Institutional Adoption
O’Leary highlighted how 24/7 cryptocurrency trading presents challenges for institutional investors, such as pension funds and sovereign wealth funds, which must adhere to strict portfolio allocation limits.
He also discussed the potential for integrating the banking system with DeFi through regulated crypto exchanges, allowing banks to provide price discovery and liquidity for cryptocurrencies without losing direct control of assets.
Finally, O’Leary suggested that recent signals from the U.S. administration indicate a more crypto-friendly stance, with potential regulatory changes expected to support broader adoption.
