Ray Dalio, an American investor and hedge fund manager, has appeared in a CNBC interview and talked about crypto. When asked about his updated opinion on the assets, Dalio said something that made it quite clear he had changed his mind about the assets.
Ray Dalio and Crypto
At the end of 2020, Dalio actually publicly voiced his support of Bitcoin specifically, saying that the token undeniably has value and has proven to be revolutionary. At the time, he said that he thinks we were entering an era where there is going to be a competition of monies because of the printing of fiat money and the depreciated value, and Bitcoin was a part of that competition. Bitcoin has two purposes; a medium of exchange and a store hold of wealth. He looks at Bitcoin as an alternative to gold.
It would seem that Dalio has revised his opinions on Bitcoin and other cryptocurrencies over the course of the last year. Fast forward to 2023 in the CNBC interview, Dalio started by admitting that it is quite amazing what Bitcoin has accomplished in the past 12 years. But he doesn’t think the token has any relation to anything.
“It’s a tiny thing that gets disproportionate attention.” —Ray Dalio
He went on to say that the value of one Bitcoin is less than a third of the value of one share of Microsoft stock. The investor believes that purchasing an inflation index bond rather than Bitcoin is a more effective way to protect themselves from the effects of inflation.
The crypto community on Twitter is probably not too pleased with Dalio, and they certainly do not agree with his assertions in the slightest. At the time of this publication, one bitcoin is now valued $23,317 and has a twenty-four-hour trading volume of $35 billion.