Sharks Talk About BitCoin -SHARK TANK ON CRYPTO



well there may be no more fascinating market story over the last few months then Bitcoin we're already talked about her reaching the $11,000 or coin mark now shooting past the $12,000 a coin point mark and making its way towards 13,000 it's one of the big trends in technology and for more on what's happening in the world of technology let's bring in somebody who knows a lot about at Robert Herjavec the CEO of the Herjavec group also known to fans of shark tank nice to see you again thanks for stopping by thank you there's so many things that we can talk to you about but it feels like this Bitcoin conversation just gets bigger and bigger every day what has been your take on this wild ride for that cryptocurrency oh my gosh it's crazy I mean 12,000 i I'm not sure I saw that happening but now I see 15,000 I really think the cryptocurrency is going to go up it's it's definitely a bubble the underlying technology blockchain is is here to stay there's a couple of companies that are actually going to convert cryptocurrency to debit cards there's actually a start up in Vancouver that's about to release a product where you be able to take Bitcoin and get a debit card from it so I think we're gonna see more use of it but I can't believe the prices I was reading yesterday there's a new type of Bitcoin called crypto kitty yes and it's going up in value like crazy – that's right people creating their own little things in that blockchain world and making them exclusive you know last time you were here we were talking about tech stocks and they'd have these monster run ups and you said one of the differences let's say between today and say the internet bubble is that these companies are big they are scaling they have real revenue in the case of a crypto currency you know when I ask people who are invested in it why you buying it they say because it keeps going up and every time it sells off it's a buying opportunity for me which is which is a different thing than Facebook or Netflix or Apple generating revenues so what do you think about it man you're right that the crypto companies aren't making money except in speculation is a great movie called the tulip Wars and these guys are selling tulip bulbs and the kid says why is it worth this and the guy says to him well because someone is willing to pay for it so wise cryptocurrency worth what it is it's because someone's willing to pay for it the underlying market still is fundamentally ransomware hackers and people like that if there was no cryptocurrency the state of security we much better in the world today so as a security guy I have a fundamental issue with it just from that perspective so and I want to talk a little bit more about that but what about with your investor hat I mean I would imagine people are knocking on your door all the time and saying hey I've got this cryptocurrency related investment ideas I mean we can track Bitcoin but there's all all this surrounding stuff it's out there so I mean what do you think about it for people I think learning about it the way I looked at cryptic horn I look at blockchain blockchain is here to stay as an underlying technology it's going to disrupt real estate contracts all kinds of technologies so as an investor I like the fundamental basis of it I love this company that's converting cryptocurrency into debit I like the transition from the electronic world to the physical world so I think as an investor I try to put the speculation aside and look at the underlying infrastructure of it companies that invest in the infrastructure of converting cryptocurrency to a physical form transaction FinTech that kind of stuff I'm very bullish on you got to put the speculative nature aside you you use that B word the bubble word but I mean are do you own any Bitcoin yourself just out of curiosity I you know it's funny on Shark Tank Mark Cuban I had this argument a year ago he says I'm gonna buy some bitcoins you can't buy Bitcoin I don't and but I only don't from a philosophical nature okay as a security guy it's a great speculative stock but like any highly speculative stock there's an end coming as an investor though I am going to invest in the underlying infrastructure and I love companies are going to convert cryptocurrency into something physical and tangible so you know one thing maybe you can shed some light on this this is The Wall Street Journal this week traders beware a canoeing awaits a lot of people have gotten hyped up over the last couple of weeks because now they're gonna be these futures that trade publicly surrounding Bitcoin we're gonna see it with with the CME a lot of people have pointed out that actually opens the door to potentially short Bitcoin at a time when it probably for a lot of people be the first opportunity to actually dabble in something like this showing once again you can buy futures in anything right and you can trade anything I mean if you think about that you're taking a speculative market and making it even more speculative by trading futures on it it's going to be an interesting time and I think a lot of people are going to short it and we're gonna see what happens with the price krypton's for crypto currency is going to continue to go up because the average consumer is only now starting to get into it and the hype machine is just going to get bigger and bigger and and just to clarify I mean comparing Bitcoin to say tech stocks to you is a completely different game like you'd be long on a lot of those big technologies the Bitcoin market is not the technology market the Bitcoin market is a speculative market not a core technology market all right we want to talk a lot more about the world of cybersecurity obviously your company benefitting tremendously from all the uncertainty out there so much to dive into we'll do that after this break Robert thanks for being here Robert Herjavec joining us we'll be right back right here on business day why why now I mean a big fan of artificial intelligence and I think they're making some good moves I mean you see the evolution of the interface on both apps and the web and I think they're going in the right direction should Twitter kick Trump off the platform no you can't do that why not you know what we're in a situation right now where politics is so tribal and our lives are so tribal that in that realm of people who really focus on politics when you try to make something make a dramatic move you you you increase the amount of tribalism right so if you kick them off all the Trump fans are going to go bananas and that doesn't do any good for anybody and he just goes to Facebook and then you just have the same thing or you just posted on a website or you know there's there's a thousand ways to post digitally and Twitter happens to be the only one he knows how to use but I'm sure even he can learn how to use Facebook or something else Twitter Facebook now Google via Gmail and YouTube are in the crosshairs of this Russia investigation the spread of fake news and misinformation what is their responsibility well I think you know it's interesting because for broadcast television if you broadcast an ad that said you swallow this penny and it will cure every illness right you won't be allowed to broadcast but there are rules that prevent you from doing it I think the same rule should apply to digital marketing and digital ads you can't knowingly except take money from or broadcast false advertising and the same should apply to Facebook and Twitter what about that's advertising what about content well I mean content look if you're it's not content if you're trying to promote a specific agenda right it's marketing and there's a big difference contact could be fat ponte beat can be opinion but state its opinion right or its fact by state its reporting and have a reporter assigned to it otherwise its net and particularly what we've seen coming out when they're using retargeting that's advertising when you're when you're in this particular case they're posting it through the ad platform if you're posting it through the ad platform it can't be fake news it's a misleading advertisement and it's the responsibility of Facebook and Twitter to recognize this is an advertising platform we can't allow fake ads to be you know hosted in our platform last question you told Bloomberg you're considering getting into Bitcoin have you done so yet and what do you think of people like Jamie Dimon saying it's a fraud it's interesting because I think there's a lot of assets that are just their values based off supply and demand you know most stocks there's no intrinsic value because you have no true ownership rights no voting rights you know you just have the ability to buy and sell those stocks they're like baseball cards and I think bitcoins the same thing it's it's value as a function of supply and demand it doesn't really do anything else I have bought some I bought it through I Manny TN based on a Swedish exchange because that gave me liquidity Bitcoin pure Bitcoin yeah and I'm also involved with AI cos actually token sales because I think blockchain is a great platform for future technology for future applications there will just like the net and streaming created multiple great companies I think blockchain will as well I'm involved in something called mercury protocol just to disclose that I think is going to change the messaging how block it'll change messaging using blockchain how big is your stake in Bitcoin relatively small I read a recent report where Millennials the majority of them have less than a thousand dollars in their bank accounts so how do you change the mine frame here let's talk about the problem first we've got a whole new generation of people graduating from colleges and all kinds of different degrees or even just high school not understanding how they're going to set up their financial future for retirement because if you think about what you have to do in your early 20s you've got to put aside 10% of your salary minimum every week and invested in the market over the long run let's say six or seven percent so if you start now and you're in your early 20s with your first job by the time you're 65 in the average salary in American with fifty two thousand dollars so if you keep 10% of that and you invest it every month you'll have about a million two when you retire which is enough to live off in America that's the problem now people say well I only have a thousand dollars in my bank and I only make or have $50 free a week or $20 a week and Apple I want to buy a share of Apple it's $150 I don't have 150 to do that with that's when it hit me why not provide fractional share ownership in other words beanstalks is an app you download on your phone everybody's familiar with their phones either Android or Apple and you can put $5 in $20 $10 whatever you've got and by fractional shares your favorite stocks and why that's important is you start to learn about investing now it has a thousand different stocks on it it's got 200 or 100 different ETFs you can build an international portfolio you can actually start to understand how to invest and you know we just brought it out a few weeks ago there's over 5,000 people have started to work with it and they and I talked to them about it they say the most fascinating thing is I buy a stock or i buy Bascom stocks are buying ETF I can't stop looking at my portfolio all day long watching it go up and down and that's the whole point of it because they're so used to using their phone it becomes the new internet and is it a younger audience are you see yes downloading it so the demographics really interesting what really blew me away as women are far more hip to this problem than men so we've got a lot of women in their early 20s saying yeah I care about investing and I'm gonna start putting aside money from my paycheck that's number one number two is I'm amazed about how interested people are in buying stocks of companies they know and trust the idea of brand so apples huge Google's huge Amazon's huge but they're starting to understand the value of diversification because when you have one stock you get a lot of volatility based on that stock price going up and down but when you have three or five all of a sudden you start to see well the price isn't changing as much when the market goes up and down and the concept of diversification invest starts to permeate the thinking what I'm learning is our demographics sort of 21 to 38 right now more than half women which blows me away I'm so proud of that because they actually are smarter about investing than men who aren't thinking about their futures but the key is once you start it's really hard to stop because you're saying gee this is working for me I'm actually investing I can see it work beanstalks I think is gonna continue to be a very interesting platform for me to promote because I want people to have financial literacy you know it's amazing a lot of my friends are Millennials and they've never cared about investing but all of a sudden they are crazy about it with with Bitcoin with the cryptocurrency right hasn't that changed well landscape to me is not a currency it's an asset people debate it all the time and I don't know bitcoins the one that survives are these some of the other ones happen the point is that is interesting the fact that they would understand I can buy an asset I can watch its value change and I can somehow take value and park it in some place where I don't spend it where I invest it for the future because the great thing about you know I'm not sure bitcoins is a great long-term investing because I don't know what's gonna happen to it but I do know a company that makes free cash flow that pays you a dividend every quarter to me that is a good idea I know you love your dividend but I love my dividends because my mother used to say to me never spend the principal in the interest so I can invest in an Apple or Microsoft and get paid every three months and they can buy a pair of shoes with it we're gonna see I mean Bitcoin and you know the underlying technology is here to stay so it's not going anywhere I think you're gonna see the price of Bitcoin skyrocket again I think people are very bullish on it and I think what's going to drive it is regulation people know that you have to regulate inevitably electronic exchanges and so you're gonna see a regulation the closer we get to that it's gonna go way up it's gonna get regulated it's going to go back down so I think it's a great investment if you're a speculator just don't want to get caught on the wrong end of that because as quickly as it's gonna go up as soon as regulation comes in it'll be good for it long term but it'll come way back are you invested in any of the cryptocurrencies out there right now yes oh we own her Javits group which were at 200 million dollars our security company I can't invest in something that my enemy uses as funds so most of the ransomware is bought through Bitcoin which is one of the early drivers on it we are heavily invested though in two-factor authentication and certain stocks that require Bitcoin if I don't know who's sending me the money identity becomes a big area so there's a bunch of stocks people like sale point cyber art that do identity and can prove that Morgan is really Morgan online so you're gonna see a lot of growth in those kind of stocks you mentioned the underlying technology as somebody focused on cybersecurity I mean the security of the blockchain is one of the selling points but is it adaptable to most of these kind of corporate and government uses that you might have clients yeah like they're very very much blockchain is the future and this idea of a secure transaction in that handshake between transactions and being able to verify absolutely the downside is the exchanges are not regulated and so you see some hacks was the hack in Japan they stole five hundred million dollars worth of Bitcoin so they're not regulated and they're not secure you can hack anything but the fundamental transaction is very secure you're gonna see it in healthcare you're gonna see an airline's consumer businesses across the board hey there thanks for checking out CNBC on YouTube be sure to subscribe to stay up to date on all of the day's biggest stories you can also click on any of the videos around me to watch the latest from CNBC thanks for watching chair of O'Leary funds we know he has a thought or two on that nice to see you in studio again this morning know what's going on with this like huge rise from $20 way up into the hundreds and then a precipitous fall yesterday well let's remember that until yesterday most people around the world never heard of Bitcoin Bitcoin for those who don't know it is basically virtual currency the same you get for blasting aliens in a video game except now traded globally you can buy bitcoins with virtually any currency on earth and convert back into any currency or buy goods and services we talked about the story what really got us talking about Bitcoin was the guy in Edmonton who was selling his house for the first time one of 400,000 bitcoins so I think the best way to look at this this is a proxy for the mistrust individuals have of central bankers if you're willing to take Bitcoin as a currency a virtual Barbie currency to me it has no basis no central banker no hard asset behind it but if you don't trust any other currency this is where you go so it is essentially what's happening you're Heather people all around the world is saying I've had it with my central banker I don't trust politicians anymore I'm going to trade with this currency with my computer and my cell phone well they did that the reason the Bitcoin shot up was after Cyprus when they thought the government was going to get the hands on the money in the bank so people turn to bitcoins they keep them protected so I ignore everything until it gets to a billion dollars of market cap that happened recently with Bitcoin well over a billion in value so it's here to stay when you have accumulated a virtual worth of a billion dollars and people are willing to trade it and actually buy things with it turn it back into hard assets and here's the key Heather owners of hard assets are willing to take Bitcoin this is here to stay that's what's going to happen and no central banker can control it but you just called it a barbie currency I was gonna say is it all hocus-pocus I mean is it a legitimate form of currency to trade it is and as soon as it passed a billion and someone bought out harvested with it in my books as an investor it became real now at the same time because relative to all other currencies it's tiny a billion dollars is irrelevant in the currency market remember the currency markets are the largest markets on earth bigger than commodities bigger than the stocks bigger than bonds it's going to grow but it's gonna take a long time but the key is volatility you know nobody's going to put a large part of their net worth into this thing because I can go up and down for 60% today as we saw yesterday but is it here to stay oh yeah so will I take 2 or 3 percent in bitcoins I think I might I'm gonna start looking at it are you really gonna say are you into this at all I have a basket of currencies Heather the way you diversify your risk in currencies is to own many of them I own euros io Swiss francs own Canadian dollars American dollars and I might start to dabble a little dab'll do you Bitcoin it's exactly what I was going to say alright thank you for the primer kevin O'Leary our business commentator the chair of O'Leary thanks Kevin take care

47 thoughts on “Sharks Talk About BitCoin -SHARK TANK ON CRYPTO”

  1. So funny listening to non-informed people talking about crypto. Robert is supposed to be a tech guy. He should know better.

  2. I cant stop! looking at my instagram, I cant stop! playing with my telephone, I cant stop! tweeting on my twitter even in the bathroom when I'm on the shitter.

  3. "There is a new type of bitcoin called crypto kitty" lmao thats not quite how it works Robert! However, you're correct that Non fungible tokens are intriguing.

  4. Have you seen guys that Dallas Mavs made a deal with LYMPO sports blockchain app.
    “The Mavericks found clear alignment with Lympo’s mission to create a healthier world by utilizing the latest technology to encourage fitness and healthy living in a whole new way,” said Mark Cuban, owner of the Dallas Mavericks. “Through the platform, fans will be able to earn free tickets and merchandise by completing Mavericks fitness challenges on the Lympo app. We are eager to launch this fall.”
    https://www.mavs.com/dallas-mavericks-lympo-app-announce-multi-year-partnership-promote-health-fitness-tech/

  5. Shark Tank is a joke and none of these Sharks know anything about bitcoin — WHERE ARE THE PEOPLE FROM THE BITCOIN COMMUNITY???? Block chain is nothing without decentralization so his thoughts on block chain or wrong. He KNOWS NOTHING

  6. You’re never bored with HITBTC exchange, hardly a week without a listing of new tokens. The exchange team always welcomes the development of new projects.

  7. 2:25 Nothing says safety like the abolition of privacy and 4th Ammendment Rights by an institutional authority. Why is everyone so obsessed with tracking transactions? It's not like the mobs haven't gotten on just fine in the last century or so with 'safe' money.

    3:11 "I love this company that converts Cryptocurrency into debit, I like the transition from the electronic world to the physical world." Lololololol, wow, seems legit.

  8. Herjavec, as a security guy should absolutely looking into the blockchain and bitcoin. He is a little shortsighted and clueless on the technology. Cuban is a little smarter and has a better grasp on monetary exchange. O'leary is just clueless.

  9. Hmm, he knows some good investment stuff but not enough about crypto. It's right for him to say that the market is speculative –> agreed. BUT, crypto is definitely the tech-market. It's just new tech, not old. Also, I would also be excited about crypto that just stays digital 100% for the long term. BUT for the short term, he's right. The crypto's that get debit cards/fiat stuff –> propably the first winners.

  10. Wonder if the CIA or other government agencies used laundered money to purchase drugs, weapons etc? But yet bitcoin is much more nefarious….

  11. allot of good crypto going to be if the satellites get hit by asteroids or the grids get hit by EMPs, or it gets hacked,
    invest in gold stupid, its been around since God !!!

  12. Soon the new twitters and fb will takeover jew military created social media sites. Its over nwo. Its over isreal. Its over trump U traitor Militias are rising too!

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