Billionaire Ray Dalio, the founding father of the world’s largest hedge fund, Bridgewater Associates, has reiterated his warning that governments may outlaw bitcoin. “In historical past, they’ve outlawed gold they usually’ve outlawed silver and so forth, they usually may outlaw bitcoin,” he confused.
Ray Dalio Continues to Warn About Governments Outlawing Cryptocurrency
Bridgewater Associates founder Ray Dalio talked about bitcoin as he reiterated his warning that governments may outlaw the cryptocurrency on the Investor’s Podcast Community, revealed Saturday. Dalio at present serves as Bridgewater Associates’ chairman and co-chief funding officer. His agency’s purchasers embrace endowments, governments, foundations, pensions, and sovereign wealth funds.
Dalio warned that “there are regulatory points” surrounding bitcoin. “When you might have another foreign money, that’s a menace to each authorities,” he elaborated. “Each authorities needs a monopoly in their very own foreign money and significantly should you get a greater foreign money as a result of it doesn’t get devalued.” Dalio added:
In historical past, they’ve outlawed gold they usually’ve outlawed silver and so forth, they usually may outlaw bitcoin.
Nonetheless, Dalio admitted that he has a small amount of bitcoin in his portfolio for diversification. “I’m Mr. diversification,” he mentioned. The Bridgewater Associates boss additionally lately revealed that he additionally owns some ether (ETH).
Commenting on the advice by one other well-known fund supervisor, Invoice Miller, who mentioned that traders ought to maintain about 1% to 2% of their portfolio in bitcoin, Dalio mentioned, “I feel that’s proper.”
Regardless of the concern that governments might ban bitcoin, Dalio opined:
It’s very spectacular that this idea was programmed one thing like 10, 11 years in the past and has stood the check of time.
The billionaire beforehand mentioned he doesn’t imagine that bitcoin will change gold as some folks have prompt. He additionally doesn’t imagine that the worth of BTC may attain a really excessive quantity such as $1 million.
In distinction, Microstrategy CEO Michael Saylor has repeatedly mentioned that bitcoin will replace gold. The professional-bitcoin govt additionally expects the worth of BTC to reach $6 million. As well as, fund managers are more and more opting to spend money on bitcoin over gold, seeing the cryptocurrency as a better store of value.
The Bridgewater Associates founder has warned about governments banning bitcoin for fairly a while. In September final 12 months, he mentioned that regulators will kill bitcoin if it turns into “really successful.” As well as, he mentioned in Might final 12 months that the success of cryptocurrencies may convey tough regulations. For instance, he famous regulators may impose “stunning” taxes on digital foreign money.
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