What is a Good Business in Crypto? Kevin O'Leary's Strategy in Infrastructure

If Kevin O’Leary, the well-known investor on Shark Tank, has pointed out an unexpected direction for his significant investment in cryptocurrency: real money is not in tokens, but in land and electricity. His new strategy reveals what truly makes a good business in the rapidly evolving crypto landscape.

O’Leary clearly stated in an interview that he now owns 26,000 hectares of land in various locations — including 13,000 hectares in Alberta, Canada, and another 13,000 hectares in undisclosed regions — to develop core infrastructure for Bitcoin mining, artificial intelligence, and cloud computing. His long-term goal is not to build facilities directly but to profit from leasing land with sufficient power and permits to operators.

Why Infrastructure is the Truly Profitable Business?

Every large investment project begins with two things: land and energy. This is what O’Leary identified in his industry study. He thinks of this business like real estate development — where the developer secures a good location and infrastructure rights, then rents them out to builders. The bedrock of successful mining operations or data centers is not technology or programming expertise, but access to cheap and stable electricity.

Therefore, his power contracts in certain locations are more valuable than Bitcoin itself, especially when prices drop to as low as six cents per kilowatt-hour. This is why he believes infrastructure is the future, not digital tokens. In his analysis, most of the data centers announced in the past three years — nearly half — will never be built because no groundwork has been prepared.

O’Leary’s approach reflects a deeper understanding of business: if you don’t have a solid foundation, no project can succeed. This shows what really makes a good business in the era of AI and crypto expansion — the foundation designed to support the future.

Bitcoin and Ethereum Remain Dominant, While Others Falter

In his dealings with various institutional investors, O’Leary discovered an important pattern: big money relies only on the two most significant cryptocurrencies. According to his figures, if you only consider Bitcoin and Ethereum, you capture 97.2% of the entire market oscillation since its inception.

Charles Schwab released a report confirming this — over 80% of the $3.2 trillion total market cap in cryptocurrencies is concentrated in major blockchain networks like Bitcoin and Ethereum. Despite thousands of new projects rushing for attention and funding, most of the crypto ecosystem remains marginalized.

O’Leary clearly stated: “All other coins are still waiting for a 60 to 90% decline, and they will not rise again.” This is a stark indication of cryptocurrency market consolidation — where the average retail investor relies on an improbable recovery of their holdings, while institutional capital focuses only on the most liquid and recognized assets.

Even though exchange-traded funds (ETFs) have brought some new retail capital, the impact on large institutions is minimal. In the context of the global financial services market and asset allocation, crypto ETFs are just a small part for investors. The real game is in Bitcoin and Ethereum, and everything else is burning out with little hope.

Regulation is the Key to the Next Stage of Adoption

What good business awaits institutional investors beyond Bitcoin and Ethereum? According to O’Leary, it’s regulation. The real change in cryptocurrency adoption will not happen until there is a clear and favorable regulatory framework.

The US Senate is currently studying a bill related to market structure that O’Leary has heavily planned. However, he is particularly critical of one part — the ban on stablecoin yield. In his understanding, this loophole is not beneficial to the crypto ecosystem and would ensure a competitive disadvantage against traditional banking.

“That’s an unfair fight,” O’Leary said. Coinbase, as a major platform, reports earning only $355 million from stablecoin yield products in the third quarter of 2025. Without permission to offer yields on stablecoin accounts, this vital revenue stream — and the main driver of institutional adoption — will be blocked.

Regulatory practices are critical. If legislation allows stablecoin providers to offer rewards to users, it could open the floodgates for widespread institutional allocation in cryptocurrency. O’Leary has invested over 19% of his portfolio in digital assets, infrastructure, and crypto-related land, demonstrating his confidence in the future — but only within the right regulatory framework.

The future of crypto is not in tokens with the biggest marketing budget or the best branding. It’s in the foundations — the infrastructure that drives the entire industry. And for entrepreneurs ready to see this pattern, good business awaits.