Benzinga - Despite the recent success of Bitcoin ETFs, “Shark Tank” star and entrepreneur Kevin O’Leary has revealed his skepticism towards investing in them.
What Happened: O’Leary has expressed concern over the fees charged by Bitcoin (CRYPTO: BTC) ETF issuers. These additional costs provide no value to him as a long-term Bitcoin holder, he told Fox News, as reported by Business Insider.
O’Leary also shared his doubts about the survival of all 11 Bitcoin ETFs that have been recently approved by the U.S. Securities and Exchange Commission (SEC).
He anticipates that only a select few, such as those backed by industry behemoths like Fidelity and BlackRock Inc. (NYSE:BLK), will prevail due to their extensive sales forces.
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However, O’Leary acknowledges the importance of this regulatory approval for the progression of the crypto industry and hopes it will encourage lawmakers to consider digital payment systems like the USDC stablecoin.
Despite his skepticism, O'Leary thinks that Bitcoin will rise to three to five times its current value of $150,000-$250,000 by 2030. That said, he dismissed Ark Invest CEO Cathie Wood‘s prediction of Bitcoin hitting $1.5 million by the same year unless there’s an economic disaster.
"For Bitcoin to appreciate that quickly to that price would mean that the US economy had somehow faltered in my view. So no, I don’t agree with that price point," he said.
Why It Matters: The approval of Bitcoin ETFs marked an important day in the crypto market, with the first day raking in $4.5 billion in trading volumes.
This included significant contributions from the Grayscale Bitcoin Trust (NYSE:GBTC) and BlackRock Inc., which accounted for half and a quarter of these volumes, respectively.
Despite this success, O’Leary’s skepticism highlights the potential risk and uncertainty surrounding these investment vehicles.
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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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