Ray Dalio called bitcoin “gold for the young”
The first cryptocurrency actually acts as an alternative to gold for the younger generation. The blockchain revolution is inevitable, but some governments may outlaw it, billionaire Ray Dalio said.
Ray Dalio compared Bitcoin to gold
In an interview with MarketWatch, the founder of Bridgewater Associates urged not to hold only cash, which “gets eaten up by inflation,” and to form an “all-weather” portfolio as a safety net. It should be diversified by currency, asset class, country and industry.
Bitcoin may occupy a certain part of such a portfolio. Dalio compared it to gold, the “blue chip” in relation to fiat.
The billionaire doubted that authorities around the world would eventually ban the first cryptocurrency. He found no reason to expect its inclusion as a reserve asset by central banks and large corporations.
Dalio moved some of his assets into BTC
Dalio reminded that he moved some of his assets into bitcoin for diversification purposes because of its “presumptive value.”
During the conversation, the billionaire expressed fears of a possible economic downturn amid tightening of the Fed’s monetary policy. According to the expert, this may happen in case the interest rate hike is higher than market expectations.
Let’s remind, following the results of a meeting on December 14-15, the Fed allowed three key rate hikes in the next two years.
Earlier, Dalio predicted that regulators will take control of bitcoin in case of its massive success.
