Shark Tank star Kevin O’Leary, aka Mr. Fantastic, says that almost all crypto tokens are nugatory and they’ll finally drop to zero in worth. He added that he now owns seven cryptocurrencies and he’s getting the identical volatility he did when he owned 32 crypto tokens previous to the collapse of crypto alternate FTX.
O’Leary: Most Crypto Tokens Are Nugatory
Kevin O’Leary shared his view on cryptocurrency investing in an interview with Scott Melker on the Wolf of All Streets podcast, revealed Tuesday. He stated:
10,000 tokens, most of them nugatory. They’ll finally simply go to zero due to lack of volatility and lack of quantity. They’re irrelevant.
In accordance with some information suppliers, there are presently about 10,000 cryptocurrencies. Coinmarketcap, nonetheless, reveals a complete of twenty-two,476 crypto tokens.
The chairman of the U.S. Securities and Alternate Fee (SEC), Gary Gensler, additionally stated on a number of events that most crypto tokens will fail. He lately urged traders to not get caught up within the worry of lacking out (FOMO).
Portfolio Diversification
O’Leary added that he marked all his crypto investments right down to zero when FTX filed for chapter in November final 12 months. The Shark Tank star solely used FTX as a result of he was a spokesperson for the alternate. FTX paid him $15 million to be its spokesperson.
Whereas the FTX chapter case remains to be happening, Mr. Fantastic stated: “Within the interim, to deliver again our allocation, we merely went into the market and acquired new positions in bitcoin, polygon, ethereum, HBAR, just some — seven positions.”
He defined: “We went again to have a look at the volatility of our portfolio pre-FTX and now post-FTX. We had 32 positions on pre-FTX collapse, we now have seven and we’re getting the very same volatility with a fraction of the particular variety of tickers.” The Shark Tank star continued, “So that you don’t must personal every thing to be uncovered to crypto volatility,” elaborating:
You don’t want any greater than seven, you might be getting the identical volatility.
Following the meltdown of FTX, O’Leary was closely criticized for his continued assist of the disgraced founder Sam Bankman-Fried (SBF). He stated he would back SBF again if he had one other enterprise, insisting that the previous FTX CEO was a superb crypto dealer.
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