Cryptocurrency is fast becoming a mainstream technology from its niche status, becoming a fundamental support column of the international financial system. Renowned investor Kevin O’Leary has envisioned that crypto will be considered the 12th industry of the economy, in addition to traditional industries such as energy, healthcare, and technology, shortly. This is being fueled by growing regulatory transparency, institutional acceptance, and the adoption of blockchain in mainstream finance.
From Speculation to Institutional Integration
In recent years, the cryptocurrency landscape has undergone significant changes. O’Leary, once a skeptic, now allocates 20% of his portfolio to digital assets and blockchain companies. He believes the era of unregulated “crypto cowboys” is ending, making way for a more structured and compliant industry. This shift is attracting institutional investors who were previously hesitant due to regulatory uncertainties.
The changing position of the U.S. government concerning crypto is also significant. During President Trump’s presidency, there has been a drift towards acceptance of digital assets. This involves the appointment of a cryptocurrency czar and the creation of a strategic bitcoin reserve. These steps represent a big policy shift, placing the U.S. at the forefront of the digital asset landscape.
O’Leary has stressed that well-defined regulatory structures are needed for institutional capital to flow in. He has likened today’s volatility in crypto markets to the beginnings of tech stocks in the 1990s, implying that, as with tech, crypto has the potential for large growth once regulatory barriers are overcome. This view calls for a policy to define the future of digital assets.
Global Adoption and Policy Role
Outside the U.S., other nations are also strengthening regulations in the crypto space. Canada’s move to approve crypto exchange licenses and the UAE’s lead have been such that they’ve become welcoming spaces for the growth of digital assets. O’Leary has also pointed out the UAE as an emerging hotbed for blockchain innovation, pointing to its chance to become a global leader in the field.
The government’s aggressive taxation policies towards cryptocurrencies have driven some entrepreneurs to shift to more crypto-positive jurisdictions in India. Such an exodus reflects the role of policy choices in driving the development and expansion of the crypto market. O’Leary has indicated that stable policy regimes provide confidence to investors, stressing that “policy is the biggest predictor of outcomes.”
As the crypto sector evolves, its alignment with the global financial ecosystem becomes more apparent. The overlap between regulatory definition, institutional attention, and global policymaking initiatives is a harbinger that cryptocurrency will become a staple in the world economy. As progress is made and encouraging policies are adopted, crypto’s identification as the 12th industry appears not only possible but imminent.
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