Kevin O’Leary Raises Concerns Over Ethereum Network Issues

Investor and “Shark Tank” star Kevin O’Leary has expressed concerns regarding Ethereum’s network congestion and rising prices as the weekend approaches. He took to X, where he noted that even minor transactions on Ethereum are costing over $1,000, describing the situation as akin to “paying a $1,000 toll to drive on a one-lane highway.”

O’Leary, who is often referred to as “Mr. Wonderful,” emphasized that true innovation should center on building scalable infrastructure, rather than simply generating hype.

He vented frustration about the discussions surrounding going on-chain, stating, “For more than a decade, we have been talking about going on-chain, and now we are finally seeing real implementation and we are starting to see the cracks.”

Data from EtherScan indicated that Ethereum’s average daily gas price recently hit a nine-month high, which is noteworthy given the overall market’s downturn. This gas price represents the cost users are willing to pay per computation unit for transactions on the Ethereum network. During peak traffic, many users are attempting to prioritize their transactions, leading to spikes in costs.

O’Leary has a long-standing belief in the potential of Bitcoin and Ethereum, suggesting that these two cryptocurrencies could dominate more than 90% of the volatility and yield in the crypto market. He warns against chasing after other tokens unnecessarily.

Furthermore, he noted that younger generations, particularly Gen Z, are increasingly investing in cryptocurrencies like Bitcoin and Ethereum alongside traditional stocks, which he views as an opportunity that he didn’t have early in his own investment journey.