As with pretty much anything else, it is not surprising that there are those who have problems with the fundamental nature of certain technology. Cryptocurrency and blockchain technology have been praised by many as a very important innovation to bring about commendable changes and improvements to the current practices in today’s traditional and financial markets.
Regardless of its many uses, a lot of people including high-ranking members of certain governments are not happy with the basic design of cryptocurrency and are afraid that it could bring about certain problems. Already on the darkweb, cryptocurrency is the most preferred payment method and because it is largely untraceable and irreversible, it has been a big problem for law enforcement agencies. Also a few months ago, a US congressman called on his colleagues to shutdown the use of cryptocurrency because it affects the country’s financial sovereignty. Now another person who has been a vocal soldier in the anti-crypto army is Kevin O’Leary, a Canadian TV personality and businessman.
Cryptocurrency Is Crap And Non-Compliant
Popularly known as Mr. Wonderful, O’leary expressed his disapproval for digital assets, saying the fact that the sector is largely unregulated and does not comply with most global financial statutes is a big problem for him.
“If I want to be compliant and I don’t want to breach any regulators because I’m a participant in financial service globally – and that is where the majority of money is – … I have to be compliant. I have no interest in doing any of this crypto crap because it is not compliant and regulators in all countries do not agree.”
In his short rant, O’leary proposed a different currency that would be a digital asset backed by four of the most prominent currencies including the U.S. Dollar, the Euro, the Swiss Franc and the Japanese Yen. Hypothetically calling it the WonderCoin, O’leary said it would be fully regulated and used to pay taxes, handle debts, purchase equities and also easily be converted to any of the four fiat currencies. Anything apart from this would be untenable for him as he said:
“All of this non-compliant stuff, I don’t want to get involved with a drug dealer trading Bitcoins somewhere. I want nothing to do with that.”
Jeremy Allaire, the co-founder and CEO of Circle was on the other end of the conversation and tried to straighten things out for O’leary. Allaire explains that saying the cryptosphere is completely devoid of regulation would be untrue because entities who serve as middlemen between the traditional financial system and the cryptosphere are fully regulated by the government. He said:
“The crypto industry has been regulated in the U.S. since 2013. If you want to sit between the banking system and cryptocurrency, you have to be licensed as a financial institution.”
O’leary was however not satisfied with anything Allaire said and still called crypto a “rogue currency.”
This isn’t the first time Mr wonderful has publicly spoken against cryptocurrency. Back in May, O’leary said bitcoin is a useless currency because people who use it seem to only want a hedge due to the instability.
Halt The Libra!
The fight against crypto is still ongoing as on Tuesday, July 2, members of the U.S. House Committee on Financial Services wrote a letter to Facebook asking that “Facebook and its partners immediately agree to a moratorium on any movement forward on Libra – its proposed cryptocurrency and Calibra – its proposed digital wallet.”
The letter expresses its concerns to Facebook CEO, Mark Zuckerberg, COO Sheryl Sandberg and Libra/Calibra CEO, David Marcus.
“The letter says that the Libra and Calibra may lend themselves to an entirely new global financial system that is based out of Switzerland and intended to rival U.S. monetary policy and the dollar.”