Billionaire Ray Dalio, founder of the world’s largest hedge fund, Bridgewater Associates, reiterated his warning that governments could ban bitcoin. “In history, they banned gold and they banned silver and so on, and they could ban bitcoin,” he said.
Ray Dalio continues to warn of governments banning cryptocurrency
Bridgewater Associates founder Ray Dalio spoke about bitcoin, reiterating his warning that governments could ban cryptocurrency on the Investor’s Podcast Network, released on Saturday. Dalio is currently President and Co-Chief Investment Officer of Bridgewater Associates. His firm’s clients include endowments, governments, foundations, pensions and sovereign wealth funds.
Dalio warned that “there are regulatory issues” regarding bitcoin. “When you have an alternative currency, it’s a threat to every government,” he explained. “Every government wants a monopoly in its own currency and especially if you get a better currency because it is not devalued.” Dalio added:
In the story, they banned gold and they banned silver and so on, and they could ban bitcoin.
Nonetheless, Dalio admitted that he had a small amount of bitcoin in his wallet for diversification. “I am Mr. Diversification,” he said. The boss of Bridgewater Associates also recently revealed that he also possesses Ether (ETH).
Commenting on the recommendation of another famous fund manager, Bill Miller, who said that investors should hold around 1% to 2% of their portfolio in bitcoin, Dalio said: “I think it is true.”
Despite fears that governments will ban bitcoin, Dalio said:
It’s very impressive that this concept was programmed about 10, 11 years ago and has stood the test of time.
The billionaire has previously said he doesn’t believe bitcoin will replace gold, as some people have suggested. He also does not think that the price of BTC could reach a very high number such as a million dollars.
In contrast, Microstrategy CEO Michael Saylor has repeatedly stated that bitcoin will replace gold. The pro-bitcoin executive also expects the price of BTC to hit $ 6 million. Additionally, fund managers are increasingly choosing to invest in bitcoin over gold, seeing cryptocurrency as a better store of value.
The founder of Bridgewater Associates has warned of governments banning bitcoin for some time. In September of last year, he said regulators would kill bitcoin if it became “really successful.” Additionally, he said in May of last year that the success of cryptocurrencies could lead to tough regulations. For example, he noted that regulators could impose “shocking” taxes on digital currency.
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