• Ray Dalio, founder of Bridgewater Associates, is not a big fan of bitcoin.
• He does not understand why people are more inclined to go to bitcoin instead of gold.
• Dalio believes that crypto is too volatile and speculative to be taken seriously as an asset class.
Ray Dalio Still Doesn’t Think Much of Bitcoin
Billionaire investor and founder of Bridgewater Associates, Ray Dalio, has never been a big fan of bitcoin. In his latest interview he questioned why people are more inclined to go for BTC instead of gold. He admitted that he doesn’t have much passion for the cryptocurrency and also called it “very volatile and speculative”.
Why Does He Prefer Gold?
Dalio believes that gold cannot be beaten in terms of its stability and history. He touted its reliable way related to almost anything compared to the ‘move up and down’ nature of digital assets such as BTC which makes it hard to rely on them as an asset class. Furthermore, he thinks that crypto can easily be tracked by governments due to its traceable transactions.
What Has His Experience Been with BTC?
Dalio holds some bitcoin but only a small amount compared to his portfolio size. He has seen people getting very rich from investing in it but also losing their money just as quickly due to its high volatility. This further increases his skepticism about putting faith into this asset class despite its impressive bull runs over recent years.
Why Is Volatility Such An Issue?
The price movements surrounding bitcoin over the past 18 months have been incredibly unpredictable which is why Dalio does not yet trust it fully as an asset class or part of his portfolio strategy. This makes it difficult for investors like him who are used to relying on reliable returns from traditional investments such as stocks or gold rather than gambling on something so volatile with no guarantees attached..
Ultimately, Ray Dalio remains unconvinced by the potential benefits offered by bitcoin due to its unpredictable nature and lack security when compared with assets such as gold or stocks which have established themselves over many decades in the financial industry already.