Why Kevin O'Leary Of 'Shark Tank' Says Crypto Investments Are Floundering
Benzinga
2/20/2023
© Provided by Benzinga
Kevin O’Leary, chairman of O’Shares Investments and co-star of ABC network’s "Shark Tank," had some not-so-wonderful news for crypto investors: venture funding for crypto projects has virtually dried up.
What Happened: O’Leary joined Trader TV’s livestream for an interview and said that regulations, including “massive fines,” are deterring prospective crypto investors.
Earlier this month, the SEC ordered Kraken, a prominent crypto exchange, to shut down its staking program and pay a fine of $30 million. This sends a message to investors that regulators are “cracking down” on crypto companies, making investments less attractive, O'Leary said.
Must Read: Bill Gates Has This Peculiar Use Case For AI — And You'll Find It Hard To Guess
There’s been added pressure from many senators to create a regulatory framework for the crypto industry following FTX’s collapse, in which hundreds of thousands of people lost their funds. In fact, just last week, Democrat Elizabeth Warren and Republican Roger Marshall introduced a bipartisan bill to combat money laundering in the crypto space.
"These senators are really — they're fatigued, they're really tired of gathering every six months when the next crypto company blows up and goes to zero,” O’Leary said. “And the regulators are being applauded on by the senators and the congressmen and women who are saying, what is this? We've had enough of this stuff."
Just because investor interest has dried up does not mean that O’Leary is completely done with crypto. In fact, he said sees it as a positive that WonderFi, O’Leary’s crypto exchange, is already regulated and added that regulated exchanges will increase in value in the future.
Photo via Shutterstock.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
SPONSORED
Retirement can be a difficult part of life to navigate, and a financial advisor can help. Finding a qualified financial advisor doesn't have to be hard. SmartAsset's free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you're ready to find an advisor who can help you achieve your financial goals, get started now.
This article Why Kevin O'Leary Of 'Shark Tank' Says Crypto Investments Are Floundering originally appeared on Benzinga.com
.
Benzinga
