Despite the negative downtrend, trade analysts say there are encouraging developments regarding stablecoins.
In a recent interview with crypto influencer Anthony Pompliano, Shark Tank investor Kevin O’Leary recently provided an important perspective on stablecoins. According to him, under the right circumstances, a massive influx of blue-chip capital could enter the crypto asset market.
Kevin also added that there are billions of dollars waiting to be invested in non-fungible tokens. Still, the industry must first address significant hurdles, like fraud, put in place proper compliance requirements, and determine whether non-fungible tokens are securities.
Crypto markets will open up to large investors
The business capitalist claims that if stable rules are put in place, institutional capital worth billions of dollars could target digital assetsBitcoin (BTC) and Ethereum, as well as ETH rival Solana (SOL) and scaling solution Polygon (MATIC).
He claims that if we get coverage, it will trigger a tide of institutional capital that was poised to re-enter the Bitcoin market, even though it would require more compliance spending, more disclosure, and more openness.
Let’s imagine that four or five stablecoins are accepted simply in the fee system. This would bring tremendous results as it would allow you to get your first listed allocation of SWFs managing $500-900 billion.
He clarified his point by adding that many people outside of him engage in similar activities. However, everyone has a similar request. They ask for a clear policy and specify the guidelines of the SEC; on that basis they would allocate maybe one percent, or sometimes an overall allocation of three percent. The same goes for Bitcoin, Ethereum, Solana, Polygon and stablecoins.
Building Blocks of Compliance
He points out that a regulated crypto sector will allow top bulls access to the market and give investors the freedom to trade without worrying or worrying about their safety.
Kevin adds that these rules could result in Bitcoin price tickets that flood the market with trillions of dollars.
He concluded that the market needs sovereign wealth funds to allocate if you want to see those funds come in.