Kevin O’Leary, entrepreneur and investor known for his role on Shark Tank, has firmly rejected the possibility of a U.S. Strategic Bitcoin Reserve ever becoming a reality. His comments came during a public debate with SkyBridge founder Anthony Scaramucci, centered on Senator Cynthia Lummis’s proposed legislation that advocates for U.S. Treasury-backed Bitcoin holdings.

The bill, which aims to establish secure government-controlled Bitcoin vaults, suggests the U.S. purchase up to one million BTC as a hedge against inflation, a way to strengthen the dollar, and a means to reduce national debt. Proponents like MicroStrategy Chairman Michael Saylor argue that such a move could generate trillions in long-term value. Saylor recently claimed the U.S. could potentially earn up to $106 trillion from this strategic reserve.

Despite such endorsements, O’Leary dismissed the bill as “dead on arrival.” He said there is no political will to support such a move, citing lack of bipartisan consensus and skepticism over motivations behind the proposal.

“Michael Saylor is just talking his own book,” O’Leary stated during the exchange. “He funds his Bitcoin purchases by selling stock, debt, and preferred shares. His company’s stock trades at twice the value of the Bitcoin it holds — that’s not a sustainable model.”

O’Leary was clear in saying that while Bitcoin as an asset may continue to grow in importance, the idea of a government-backed Bitcoin reserve would not gain the political traction needed for passage. Instead, he believes legislative efforts will focus on stablecoins in the near term.

From his perspective, stablecoins like USDC present a more immediate and realistic opportunity for financial modernization. O’Leary revealed that he personally invests in stablecoins and advocated for new laws that allow the global movement of digital dollars at minimal cost. According to him, stablecoin transactions cost just one basis point, a stark contrast to the 2% or more that banks charge for international transfers.

In contrast, Anthony Scaramucci supported the idea of a Strategic Bitcoin Reserve. During the same discussion, he emphasized that the proposal could help position the U.S. economy for long-term strength, especially if implemented with bipartisan support. Scaramucci cited recent comments from David Sacks, who now advises presidential candidate Donald Trump on crypto policy, warning against unilateral action that could be undone by a future administration.

Scaramucci compared the idea to the existing 27 strategic reserves the U.S. already manages, including those for oil and gold. He argued that Bitcoin could serve as a modern equivalent of digital gold and bolster national reserves in an increasingly digital economy.

The debate coincides with another high-profile Bitcoin purchase by Saylor’s MicroStrategy spinoff, Strategy. The company recently added $180.3 million in BTC, bringing its total holdings to 555,450 BTC. These holdings were acquired at an average price of $68,550, amounting to over $38 billion invested in the leading cryptocurrency. Saylor has reiterated that acquisitions will continue regardless of market conditions, and the firm could ramp up purchases to $1 billion per day.

While Scaramucci and others push for Bitcoin to be treated as a national strategic asset, O’Leary’s rebuttal underscores a larger division within the financial world. Traditional investors remain skeptical of Bitcoin’s volatility and scalability for sovereign use, while crypto advocates see government adoption as the logical next step in Bitcoin’s evolution.

For now, the idea of a Strategic Bitcoin Reserve remains a long shot. O’Leary’s comments reflect both political reality and ongoing tension between institutional caution and digital asset enthusiasm.