Kevin O’Leary says crypto exchanges will keep ‘going to zero until we force regulation’ on them

Venture capitalist Kevin O’Leary, besides known arsenic 1 of nan awesome investors and once very vocal supporters of nan now defunct cryptocurrency trading level FTX, has expressed immoderate scathing views of unregulated crypto exchanges.

As it happens, nan prima of nan tv show ‘Shark Tank’ said that integer plus exchanges would proceed to extremity up successful bankruptcy until immoderate beardown regulations are imposed connected nan crypto industry, according to nan Twitter post he published connected February 23.

His tweet attracted immoderate beardown disapproval from nan crypto community, nan mostly of which suggested that O’Leary’s existent views had a batch to do pinch his experience pinch FTX, including blockchain architect MartyParty, who stressed that “FTX was ne'er a crypto exchange” but a “honeypot designed by a accepted finance criminal.”

Others person noted that his tweet could beryllium a jab astatine Binance, arsenic nan task capitalist had hypothesized that FTX was put retired of business successful an intentional move by nan rival crypto speech while testifying earlier nan Senate Banking Committee successful December.

At nan aforesaid time, defense lawyer John E. Deaton, celebrated successful nan crypto sphere for his coverage of nan legal battle betwixt blockchain institution Ripple and nan United States Securities and Exchange Commission (SEC), quoted O’Leary’s tweet and retorted by implying that he had nary correct to judge crypto businesses.

Specifically, Deaton was referring to nan FTX founder, Sam Bankman-Fried, who is presently awaiting proceedings for aggregate counts of fraud and has been called ‘the Bernie Madoff of crypto’ by salient figures successful nan industry, including Robert Kiyosaki, nan writer of nan personal finance book ‘Rich Dad Poor Dad.’

Urging regulation

Earlier successful February, O’Leary commented connected nan FTX collapse, saying he didn’t expect a batch much news aliases speech to travel retired of it different than astir betterment but that nan full business had “poked nan carnivore successful Washington,” arsenic it drew nan decision-makers’ attraction to nan request for regulating crypto.

He besides remained insistent that nan crypto marketplace was going to spot much bankruptcies, pinch projections of “another meltdown to zero” that will “keep happening complete and over,” and that regularisation would minimize nan power of rogue players, arsenic Finbold reported.