• Kevin O’Leary advocates for an exchange passport system to oversee cryptocurrency regulation on a global scale.
• Such a system would work by granting compliant exchanges, such as Bitbuy, a “passport” in order to link to the banking system for on/off ramping.
• Big institutions are not investing in Bitcoin due to the lack of unified global approach and compliance platform.
Kevin O’Leary Advocates for Exchange Passport System
Entrepreneur Kevin O’Leary advocated for an exchange passport system that oversees cryptocurrency regulation on a global scale. He felt confident transferring his remaining crypto assets into the Bitbuy exchange, which is heavily regulated by the Ontario Securities Commission.“I moved it up to Canada under the eye of the regulators, so I have an account there. It’s highly scrutinized, and the only way that operation gets to keep operating is to stay compliant month by month with proof of assets and total transparency and audit and everything else,“ he said.
How Would Exchange Passport System Work?
An exchange passport system would operate with compliant organizations being granted a passport. Only approved, passported organizations can link to the banking system for on/off ramping. This format would be copied by all jurisdictions, thus weeding out bad actors regardless of where they are located. Self-custody and decentralized exchanges remain an alternative to this scenario.
Big Institutions Don’t Own Bitcoin
Tying into the lack of a unified global approach to cryptocurrency regulation at this time, O’Leary thought it necessary to dispel the idea that institutions have bet big on Bitcoin and cryptocurrency – they „own none of it“ because „there’s no compliance platform“ to buy crypto even if they wanted to buy it