‘Shark Tank’ Star Buys $BTC and $ETC Dips, “Long Term You Just Have to Stomach It”

Kevin O’Leary, a celebrity investor known as “Mr. Wonderful” on ABC TV series “Shark Tank,” has revealed he is buying cryptocurrency price dips and adding to his Bitcoin ($BTC) and Ethereum ($ETH) positions, while commenting on how to deal with the crypto market sell-off.

Speaking to Business Insider, O’Leary revealed he sees the crypto market downturn as a good thing and is doubling down on BTC, ETH, and other cryptocurrencies related to Web 3 projects, while acknowledging that not every single one of his investments will be a winning bet. O’Leary was quoted saying:

I’m not selling anything. Long term you just have to stomach it. You have to understand you’ll get volatility, and that some projects aren’t going to work.”

The businessman’s portfolio is reportedly made up of 32 different positions in the cryptocurrency space, which include Solana ($SOL) and Polygon ($MATIC). WonderFi, a cryptocurrency trading firm backed by O’Leary, has recently become the first featured on the Toronto Stock Exchange.

The cryptocurrency bear market has seen his digital asset allocation in his portfolio drop to 16%, down from 20% six months ago. As CryptoGlobe reported, O’Leary revealed in April he had also invested in Avalanche ($AVAX) and that his positions were “including equity and FTX itself.”

The businessman believes cryptocurrency adoption in the U.S. will take off once there is more regulatory clarity. Once that happens, he said, allocations to the cryptocurrency space are going to increase. First, he said, institutions will move into BTC, before moving to other cryptoassets. Bitcoin’s value, he added, could skyrocket to $300,000 thanks to these allocations

Terra’s recent collapse, O’Leary suggested, is a type of event that teaches investors to be cautious and can further help digital assets grow as “no one’s going to use their idea again.” The collapse, he said, has “educated everybody that this isn’t the way to build a stablecoin.”

Looking at global financial markets, Terra’s collapse won’t change much, he said:

It’s nothing, a rounding error in the context of a sovereign wealth. It’s bad for investors, but they’ve educated the market on what not to do. It’s a good thing.

O’Leary noted that smaller projects failing help strengthen the market, and that collapses can help indicate market bottoms as a “defining capitulation” will signal the start of a rebound, he said.

 In the past, O’Leary said that because he services sovereign wealth funds and pensions plans that despite the hype surrounding cryptocurrencies like BTC, most institutions don’t own a single coin, nor will they until “their compliance departments allow for the ESG mandates to be ‘check the box on that and of course be compliant on the asset class itself.”

Several companies, including MicroStrategy, Tesla, Block, Marathon Digital Holdings, and KPMG Canada have added the flagship cryptocurrency to their balance sheets, while a few investment funds have added BTC exposure through Grayscale’s Bitcoin Trust (GBTC).

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Featured image via Pixabay