Shark Tank Kevin O’Leary Warns Bitcoin Crash as Quantum Computing Threats Turns Institutions Cautious

Shark Tank investor Kevin O’Leary warns Bitcoin could see further crash as institutions grow more cautious amid quantum computing threats. He claims TradFi institutions would also limit their crypto allocations to 3% as only Bitcoin and Ethereum matter now after the October crypto market crash.

Institutions Only Need Bitcoin and Ethereum, “Everything Else Is Just Poo Poo Coins”: Kevin O’Leary

Kevin O’Leary asserts institutions are reconsidering crypto exposure after 50% Bitcoin crash since October. He claims something bigger is happening underneath the price action.

For 90% of the upside and volatility in crypto, institutions realized they only need exposure to Bitcoin and Ethereum. Shark Tank investor calls altcoins “poo poo coins, worthless,” as they got dumped and failed to rebound.

The comments come at a time when major financial institutions are reassessing their crypto exposure amid massive outflows from spot Bitcoin and Ethereum ETFs. Bitcoin has also failed its digital gold and safe-haven narratives.

This has caused many TradFi institutions to cut their BTC holdings. Notably, Harvard cuts holdings in BlackRock Bitcoin ETF (IBIT) by 21% after massive crash. Institutions have turned cautious amid continued selling pressure amid macro and geopolitical tensions related to US-Iran nuclear talks, increasing the risk of a sharp decline in Bitcoin.

Kevin O’Leary Flags Quantum Computing Threats, Will Bitcoin Crash?

Kevin O’Leary has issued a stark warning regarding Bitcoin and the crypto market. He cautioned that the rapid advancement of quantum computing poses significant threats to Bitcoin and other crypto assets.

“The idea that a quantum computer could eventually break the chain is making institutions hesitate,” he added. Until the quantum computer threats are resolved, TradFi institutions will limit their crypto allocations to 3%.

Kevin O’Leary said “They’ll stay cautious, they’ll stay disciplined, and they’ll wait for clarity. That’s the reality.” This heightened Bitcoin crash risks amid rising selling pressure from a lack of institutional support.

While experts have pointed out that the quantum threat to Bitcoin is still 10-15 years away, the crypto industry is actively researching quantum-resistant upgrades. Bitget introduced the UEX Security Standard for multi-asset exchanges in partnership with BlockSec.

Recently, the BIP 360 proposal on future computing threats was updated and merged into the official Bitcoin Improvement Proposal (BIP) GitHub repository. The proposal introduces Pay-to-Merkle-Root (P2MR), which is designed to support quantum-resistant script tree functionality. This marks the latest efforts to make Bitcoin quantum safe.

Moreover, Michael Saylor also announced that Strategy’s Bitcoin security initiative with the global cyber, crypto, and Bitcoin security community to address quantum computing and future threats.

BTC price fell more than 1.50% in the past 24 hours, with the price currently trading at $67,967. The 24-hour high and low are $70,067 and $67,301, respectively.