Investor extraordinaire and Shark Tank mainstay Kevin O’Leary is setting his eyes on tokenizing a security. The O’Shares chairman just announced he’s working on a “$400 million coin issuance for a real asset” with an extremely “prestigious brand hotel” in New York City.
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O’Leary: “Smart Contract Approved by SEC”
On Shark Tank, Kevin O’Leary is notorious for being a skeptical investor. Now, though, this shark is officially biting on crypto.
In a March 19th morning appearance on Fast Money, O’Leary commented that a major token deal was coming to the Big Apple:
“There’s a big deal coming to New York in the next three weeks. I’m involved in it — it’s under NDA — it’s a $400 million coin issuance for a real asset you’ve heard of […] The idea is that the owner of a very prestigious brand hotel in this city is going to internationally issue an asset-based coin for ownership. And you’ll participate in distribution like a smart contract through the blockchain.”
Unsurprisingly, the Shark Tank investor noted everything would be above-board as far as receiving a formal blessing from the United States’ Securities and Exchange Commission (SEC).
“If this works, it’s going to be the first of its kind,” O’Leary said. “It’s SEC-approved. This is the issuance, instead of a stock, a share, it’s a coin — with a smart contract approved by the SEC. I’m excited about it.”
To that end, this tokenized security could be the first domino of many to come. Other big-wig investor types will surely want to try their hands at similar deals if O’Leary’s vanguard project turns out successful.
Old Meets New
Blockchain has the potential to modernize the world of traditional assets. That’s what O’Leary asserted when he later delved into the benefits of tokenization:
“It’s completely liquid, completely transparent, and the smart contract gives you ownership in perpetuity. You can sell the coin to somebody, the blockchain contract discloses that.
[…] I think there are a lot of others looking at this. They key is to go to the regulators and say, ‘I want to work with you. I don’t want to tear the world apart’ […] I don’t want to destroy any government. I want to make money!”
Bullish words from the cryptoverse’s latest shark, it seems.
What’s your take? Do you think tokenized securities will be ubiquitous in the future? Sound off in the comments below.
Images via Twitter, UK Business Insider