Kevin O’Leary, Canadian businessman and Shark Tank investor, said that concerns over quantum computing are preventing institutions from increasing Bitcoin (BTC) allocations.
This latest statement comes as experts continue to raise alarms that the impact of quantum computing risks may already be starting to show, though not in the way many expected.
O’Leary described quantum computing as a “new concern floating around now.” According to him, the theoretical risk that a powerful quantum system could eventually compromise blockchain cryptography is enough to keep large investors cautious.
While he did not suggest the threat is imminent, O’Leary indicated that the possibility is influencing capital allocation decisions today. In his view, until the industry provides a clear and credible solution to address quantum vulnerabilities, institutional exposure to Bitcoin is unlikely to move meaningfully beyond the 3% range.
His comments suggest that institutions now view quantum risk as significant enough to justify defensive positioning. Meanwhile, some appear to be taking the potential risk even more seriously.
Christopher Wood, global head of equity strategy at Jefferies, removed a 10% allocation to Bitcoin from his model portfolio, citing concerns about quantum computing.
Wood argued that progress in the field would weaken the case for Bitcoin as a reliable store of value, particularly for pension-style long-duration investors. This comes as some analysts argue that growing fears around quantum computing are beginning to influence Bitcoin’s valuation.
Willy Woo recently suggested that quantum concerns may have contributed to Bitcoin breaking its 12-year outperformance trend against gold. Charles Edwards, founder of Capriole Investments, echoed a similar view.
He argued that interest in quantum computing intensified around the time Bitcoin reached its peak, prompting investors to reduce risk exposure, which in turn contributed to the subsequent price decline.
Amid mounting concerns, Bitcoin developers cleared a procedural milestone last week by merging Bitcoin Improvement Proposal 360 (BIP 360) into the official BIP GitHub repository.