Billionaire Ray Dalio, founder of the world’s largest hedge fund Bridgewater Associates, has reiterated his warning that governments could ban Bitcoin. “In history they banned gold and they banned silver, etc., and they could ban bitcoin,” he pointed out.
Ray Dalio continues to warn of governments banning cryptocurrencies
Bridgewater Associates founder Ray Dalio spoke about Bitcoin when he reiterated his warning that governments could ban cryptocurrency on Investor’s Podcast Network, published on Saturday. Dalio is currently the chairman and co-chief investment officer of Bridgewater Associates. His firm’s clients include foundations, governments, foundations, pensions and sovereign wealth funds.
Dalio warned that “there are regulatory issues” with Bitcoin. “If you have an alternate currency, that is a threat to any government,” he said. “Every government wants a monopoly on its own currency and especially when you can get a better currency because it won’t be devalued.” Dalio added:
In history, they have banned gold and silver and so on, and they could ban bitcoin.
Nonetheless, Dalio admitted that he has a small amount of Bitcoin in his portfolio for diversification. “I’m Mr. Diversification,” he said. The Bridgewater Associates boss also recently announced that he also owns some ether (ETH).
On the recommendation of another famous fund manager, Bill Miller, who said investors should hold about 1% to 2% of their portfolios in Bitcoin, Dalio said, “I think that’s right.”
Despite concerns that governments might ban Bitcoin, Dalio said:
It is very impressive that this concept was programmed about 10, 11 years ago and has proven itself.
The billionaire previously said he doesn’t think Bitcoin will replace gold as some people have suggested. Nor does he believe that the price of BTC could get as high as $ 1 million.
In contrast, Microstrategy CEO Michael Saylor has repeatedly said that Bitcoin will replace gold. The pro-bitcoin manager also expects the price of BTC to reach $ 6 million. Additionally, fund managers are increasingly choosing to invest in Bitcoin rather than gold as they see cryptocurrency as a better store of value.
The founder of Bridgewater Associates has been warning for some time that governments are banning Bitcoin. In September last year, he said that if it gets “really successful,” regulators will kill Bitcoin. In addition, he said last May that the success of cryptocurrencies could result in tough regulations. For example, he noted that regulators could impose “shocking” taxes on digital currencies.
Do you agree with Ray Dalio? Let us know in the comment section below.
Kevin, a student of Austrian economics, found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open source systems, network effects and the interface between economy and cryptography.
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