Shark Tank's Kevin O'Leary Questions Bitcoin's Role as 'Safe Haven'

The debate over bitcoin's role as a "Safe haven" asset hit mainstream media on Tuesday, following reports that bitcoin's recent price run could be attributed to Chinese capital flight.

Speaking with CNBC on Tuesday, businessman and co-host of NBC's "Shark Tank" Kevin O'Leary and Morgan Creek Digital's Anthony "Pomp" Pompliano took opposing sides in the conversation.

Pompliano is a well-known bitcoin bull, while O'Leary played the role of skeptic.

O'Leary sought to describe the investment strategy as foolish in return.

"In any one stock, never more than 5 percent, in any one sector, never more than 20 percent," O'Leary said.

Responding to bitcoin's role as a safe haven, Pompliano said the asset is negatively correlated with every other major asset class.

If you look at times of global instability like in May, where we are lobbing tariff threats and the trade wars are going on, bitcoin is up 55 percent.

O'Leary's main point concerned alternative cryptocurrencies.

Two years ago, O'Leary explained, he purchased $100 of various cryptocurrencies like bitcoin, bitcoin cash, XRP, ethereum, and stellar lumens.

CNBC's segment on bitcoin as a safe haven was an extension of the currency discussion occurring around China.