Kevin O’Leary, star of the US investment audition program “Shark Tank,” said, from the standpoint of institutional investors, not all bitcoins are made equally qualified.
O’Leary appeared on CoinDesk TV’s’First Mover’ on the 15th and said he wants to increase transparency about where and how bitcoin is mined.
O’Leary, known as’Mr. Wonderful’, changed his mind about Bitcoin as an investment asset, increasing the proportion of BTC in his personal portfolio to 3%. However, he emphasized that he does not want to buy bitcoins mined in a way that causes energy waste and environmental damage.
He compared the bitcoin mined in that way to a’blood diamond’ that finances tax evasion activities in developing countries, and said, “I want my bitcoin to be mined efficiently.” This wish among investors… For example, it will be able to prevent the purchase of bitcoins mined in China, which power cryptocurrency mining with electricity from coal (even if there are hydropower plants in the rainy season).
O’Leary’s remarks suggest that through the recent influx of traditional investors into the bitcoin market, the old debate could revive.
For years, it has been said that newly mined “virgin” (natural) bitcoins get a premium over multiple wallets. Buyers want to avoid corruption of cryptocurrencies that may have been used in markets such as illegal darknets.
This means that Bitcoin is really corrupt or will no longer be able to trade, which also means that Bitcoin cannot play a fundamental role as money. However, evidence that the premium of’virgin bitcoin’ exists is largely unproven, causing many market participants to doubt.
But if O’Leary is correct, Wall Street’s environmental conscience, or at least the desire to project it, could lead to a new differentiation among alternative cryptocurrencies.
On the other hand, O’Leary, the founder of mutual fund companies, venture capital companies, and ETFs, mentioned that many institutions nowadays have two committees that determine asset allocation: the’Investment Committee’ and the’Sustainability Committee’. did.
Bitcoin needs to satisfy both stakeholders before more companies jump in, he argues.
“Many don’t seem to realize how big this problem will be,” he said. O’Leary said he plans to take action directly at the mine, working with miners to reduce their carbon footprint.
He hinted that some institutions may want to mine their own BTC so that they can prove Bitcoin’s transparency to their clients. Still, only 10% of financial institution workers who want to invest in the early cryptocurrency market appear to do so, suggesting greater demand and rising prices in the future.