In a recent podcast, Bridgewater Associates founder Ray Dalio clarified that he was neither a bull neither one bear regarding bitcoin (BTC).
“You have to invest 1 to 2% of your funds in bitcoin”
American billionaire Ray Dalio, founder of Bridgewater Associates, an asset management company, changed his stance on the world’s largest cryptocurrency last year. He also said he had held part of it since May.
Like billionaire Bill Miller, Dalio estimates that investors should spend 1-2% of their funds on bitcoin.
Dalio, who remains a strong supporter of diversification, said staying competitive in markets is more difficult than participating in the Olympics.
” There are a lot of people trying to do it and putting more resources into it “, He estimated.
Many in the crypto community are familiar with Dalio’s New World Order book that just came out. They see it as a 550 page advertisement for bitcoin.
Main risks facing bitcoin
Dalio recalled that he was impressed that bitcoin had managed to stand the test of time without hitting rock bottom. However, the billionaire warned of some risks facing the asset.
First of all, Dalio believes that an alternative currency could emerge as everything ends up getting old, which is precisely the nature of evolution.
Additionally, the investor predicts that more money could be invested in non-fungible tokens and other cryptocurrencies for diversification purposes. Dalio hasn’t entered the NFT ecosystem yet, but the latest crypto frenzy has made him curious.
The president of Bridgewater Associates again warned that governments could ban bitcoin just as they banned gold and silver back then.
” An alternative currency is a threat to all governments. Every government wants a monopoly on its own currency. “
Finally, he also referred to the proliferation of malware as another problem that hinders bitcoin.
Follower of a diversified portfolio, Ray Dalio asserted in an interview with Yahoo Finance published on December 16 that cryptocurrencies are “ impressive “, While qualifying cash as” worst investment “.
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