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On Saturday, bitcoin cash miners met to discuss funding for a bitcoin cash development fund, he told CNBC.
In the fund, miners are "going to take some of the rewards they get from mining and put it in a fund to build stuff on top of bitcoin cash," Kelly said on "Fast Money. "
"That's how blockchains gain value," he added. "You're going to be getting more use cases to the extent that usefulness translates into value. That could be a positive for bitcoin cash."
"That's a place I want to buy," said Kelly, who is founder and CEO of BKCM, an investment firm focused on digital currencies.
Bitcoin cash was priced at $1,233.25 at 6 p.m. ET Monday. While it declined from its $1,300 price the week of May 14, bitcoin cash was still valued significantly higher than its April 17 level of $763.
The crypto market watchers were expecting the most notable digital coin of all, bitcoin, to rally during Blockchain Week New York. Instead, the coin declined about 10 percent, briefly falling below the $8,000 level. Bitcoin, priced around $8,400 Monday at 5:30 p.m. ET, is down about 5 percent in the last month.