Key Takeaways:
- Ray Dalio, founder of Bridgewater Associates, says bitcoin could be “killed” by regulators
- Crypto circles criticize Mr. Dalio’s approach by saying even China’s ban could not hurt bitcoin
Regulators Could Try to Kill Bitcoin, Says Ray Dalio
Ray Dalio is a billionaire and founder of the world’s biggest hedge fund, Bridgewater Associates. Recently, he painted a rather pessimistic picture of bitcoin and its future adoption by mainstream finance, governments, and regulators.
Ray Dalio, has previously confirmed he had invested in bitcoin. He claimed that the more successful bitcoin becomes, the bigger chance there was that governments would be threatened by it and therefore try to “kill it”.
“I think at the end of the day if it’s really successful, they will try to kill it. And I think they will kill it because they have ways of killing it,” Ray Dalio said on Wednesday in an interview on CNBC’s Squawk Box. “But that doesn’t mean it doesn’t have a place.”
The billionaire hedge fund manager explained that various countries have different approaches to bitcoin. “You have El Salvador taking it on and you have India and China getting rid of it. You have the United States talking about how to regulate it and it could still be controlled,” he said.
“I Have a Certain Amount of Money in Bitcoin”
Despite the dangers in the face of regulatory scrutiny, Mr. Dalio continued to make the case for bitcoin. He asserts that the original cryptocurrency presented an opportunity for diversification.
“I think it’s worth considering all the alternatives to cash and all the alternatives to the other financial assets. Bitcoin is a possibility. I have a certain amount of money in bitcoin,” he told in the interview at the SALT conference in New York.
“It’s an amazing accomplishment to have brought it from where that programming occurred to where it is through the test of time,” he added.
Crypto Circles Disagree with Ray Dalio’s Perspective
The crypto community did not keep silent to Mr. Dalio’s gloomy outlook for bitcoin’s future. Following the interview, a wave of comments criticized Ray Dalio’s view on bitcoin by saying he did not properly understand the cryptocurrency.
Other comments said that even China and India, two of the biggest countries by population in the world, could not “put a dent” in bitcoin’s performance.