Ray Dalio believes crypto may be outlawed…but still holds onto Bitcoin and Ethereum

Ray Dalio, the founder of the world’s largest hedge fund, Bridgewater Associates, shared his views on cryptocurrency regulation in a recent interview with David Rubenstein on Thursday.

Investor and New York Times bestselling author Ray Dalio recently talked about the rise of China, the importance of meditation, and investing in crypto on The David Rubenstein Show. The show is the brainchild of financier and philanthropist David Rubenstein, and is a series of interviews with American leaders and entrepreneurs. 

Dalio had previously admitted that he has bought into both bitcoin and ethereum,  stating at the time that he doesn’t hold a great deal of either cryptocurrency, but believed it was important to hold cryptocurrency as part of a well-diversified portfolio.

“I view it as an alternative money in an environment where the value of cash money is depreciating in real terms. And I think it’s very impressive that for the last 10-11 years, that programming has still held up. It hasn’t been hacked and so on. And it has an adoption rate.”

The most recent comments from Dalio confirm that he still holds a “tiny percentage” of his portfolio in cryptocurrency, however he shared his concerns about some of the issues he perceives in crypto, noting:

“I wanted to diversify but it’s a very vulnerable incident because they can track who is operating on it. It can be tracked. It’ll be outlawed, probably by different governments”

According to Dalio, digital assets are getting too much attention, and when asked by Rubenstein how he foresees crypto impacting the world order, he added:

“We are going to question money as a medium of exchange but it’s also storehold of wealth, and we are going to be questioning what are the right storeholds of wealth in value. And, you are going to see around the world […]the digital version of that take place in many forms and you are going to see other forms of that competition”

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