From Yahoo Finance: 2025-06-01 09:52:00

Many investors struggle to take cryptocurrency seriously despite BlackRock’s interest. In 2022, 8% of U.S. adults saw it as a top long-term investment, but this dropped after FTX lost $9 billion. Kevin O’Leary believes crypto debacles are a thing of the past, reserving 20% of his portfolio for crypto assets.

O’Leary, a former FTX spokesman, remains optimistic about the market’s potential. He supports upcoming bills in Congress like the GENIUS Act, requiring stablecoin issuers to hold reserves. A market infrastructure bill aims to define assets as securities or commodities for proper regulation by authorities.

Coinbase CEO blames FTX debacle on U.S. regulatory clarity, forcing American investors offshore. Ripple CEO agrees, emphasizing the need for clear guidance for companies. Congress’s new regulations may provide only a veneer of legitimacy, with potential impact on crypto’s safety and investors.

Under new management, the SEC has shifted its focus, moving its top crypto litigator and dropping cases against major firms. The Justice Department disbanded its crypto enforcement team, narrowing its focus to drug cartels and terrorist groups. Regulators like the Labor Department have relaxed crypto guidance.

Advocates for light and heavy regulation are vying for influence in the crypto sector, with critics warning against the dangers of an unregulated industry. Stablecoin legislation could risk a financial crisis, infecting the financial system with chaos. The GENIUS Act may lead to another crisis without stronger safeguards.

Read more: Kevin O’Leary says the sector is safe now and is backing stablecoins