Since its inception, Bitcoin’s price has seldom been stable. Just like any financial asset, even BTC has witnessed up and downs of its own over the years. However, it has never become valueless even once to date.
In fact, per Shark Tank star and Chairman of O’Shares Kevin O’Leary, even in the future, Bitcoin is never going to stoop down to zero. Speaking to Kitco News on the sidelines of the Bitcoin 2022 conference in Miami, he said,
“Bitcoin is never going to zero. This is a personal opinion. There are enough people around the world that see it as a store of value, me included.”
One of the many questions preoccupying the minds of investors remains to be – What’s Bitcoin’s price floor to justify building all the new green energy sources to mine the cryptocurrency. Opining on the same, O’Leary said,
“I am happy if Bitcoin stays at $50k for a couple of years. That’s great returns for me. It is forcing everybody to make better computing power.”
To the Editor-in-Chief, Michelle Makori’s question about concerning levels w.r.t. such a model, O’Leary said that he’d be worried if the asset’s price tumbled below $30k or $25k.
O’Leary went on to point out that 5% of his portfolio was solely dedicated to Bitcoin. On the whole, 20% of his portfolio boasted of assets from the DeFi and crypto space including Ethereum, Solana, Polygon, HBAR, and Avalanche.
Regulations pertaining to Bitcoin remain to be O’Leary’s concern
Per O’Shares’ exec, there will be billions of more dollars allocated to the crypto space going forward, especially to Bitcoin. However, the lack of regulatory clarity poses a cause of concern. O’Leary said,
“What we really need is for U.S. regulators to make policy, and then allocations will start, primarily in Bitcoin.”
With respect to other crypto assets, regulators would have to approve stablecoins in order to keep the U.S. dollar as the world’s reserve currency, O’Leary pointed out.
“The great thing about getting stablecoins nailed down on a regulatory basis in the U.S. is that it creates a global currency backed by the U.S. dollar. It keeps the U.S. dollar as the currency of reference globally.”
While most regulators in the US have remained tight-lipped about crypto, Treasury Secretary, Jannet Yellen has never shied away from voicing her opinions. While her usual stance has mostly been more inclined towards the anti side, her latest remarks suggested otherwise.