Admitting That He May Then Be Wrong About The Bitcoin Whereas Still Concerned Of Government Ban Is Ray Dalio
What prompts Ray Dalio to go back on his words? What do bitcoiners have to say about his stand? You can know all about how Dalio is observing the current trends in bitcoin.
Who Is Ray Dalio?
Admitting that he may be wrong about bitcoin after stating that governments will ban the cryptocurrency if it becomes material is billionaire hedge fund manager Ray Dalio. His hedge fund is the largest in the world, as Dalio founded Bridgewater Associates.
Ray Dalio Open to Learning About Bitcoin
After stating last week that he did not think that cryptocurrencies will succeed in the way people hope they would, Bridgewater Associates founder Ray Dalio has admitted that he may be wrong. If it becomes material, he further said the governments will outlaw bitcoin.
Serving as its co-chief investment officer since 1985, Dalio is an American billionaire hedge fund manager who founded Bridgewater Associates. With about $140 billion in assets under management, his hedge fund is the largest in the world. By AICIO Magazine and Wired Magazine, Dalio has been called the Steve Jobs of Investing. By TIME magazine, he was also named one of the 100 Most Influential People.
Dalio tweeted on Tuesday as the price of bitcoin soared thereby surging about 55% over the past 30 days:
I would love to be corrected whereas I might be missing something about bitcoin.
In a series of tweets, he began to highlight his concerns by saying, simple are his problems with bitcoin being an effective currency.
He claims, firstly that as you can[not] buy much with it as he presumes it’s because it’s too volatile for most merchants to use, whereas correct him if he is wrong when bitcoin is not very good as a medium of exchange.
He asserted secondly that as its volatility is great and has little correlation with the prices of what he needs to buy so owning it doesn’t protect his buying power as it's not very good as a store-hold of wealth.
What he outlined in an interview with Yahoo Finance last week was next about as he reiterated the risk of governments banning bitcoin.
Governments won’t allow it as Dalio said that if bitcoin does become material. They are sure to use whatever teeth they have to enforce that as they will outlaw it as he emphasised. You can’t have a bitcoin as they would say thereby you can’t transact the bitcoin. On Tuesday the billionaire fund manager similarly tweeted:
The governments will outlaw it and make it too dangerous to use if it does become successful enough to compete and be threatening enough to currencies that governments control.
Hereafter when it is observed whereas gold which is the third-highest reserve asset that the central banks own, he can’t imagine the central banks, big institutional investors, businesses or multinational companies using it as the Bridgewater Associates founder further argued.
Saying that he would love to be corrected if he is wrong about these things, Dalio ended his series of tweets with a thank you.
Bitcoiners Addressing Ray Dalio’s Concerns
Replying to Dalio’s bitcoin tweets were many bitcoiners. Some people attempted to address Dalio’s three concerns in detail while the comments varied. Addressing each point Dalio made against bitcoin being an effective currency as one of them was Blockfi CEO, Zac Prince.
Explaining that bitcoin-like assets aren’t meant to be an MoE but an SoV to back digital stablecoins similar to how gold once blocked fiat was the founder of Mythos Capital Ryan Sean Adams, as he chimed in. He simply stated that as game theory forces central banks to hold it, MMT forces CBs into the digital realm addressing Dalio’s government ban concern.
According to Capriole Investments founder Charles Edwards, starting from 0 are all new asset classes. There will be volatility to get to a big number is what starting from 0 means. It is almost as close to a straight line up as you can get in case if you zoom out, put bitcoin on a log chart.
Taking time to become accepted among the population are mediums of exchange. To buy goods anywhere globally, you can use bitcoin debit cards is the fact.
Explaining about bitcoin or other popular resources, many replies simply point Dalio to their own work. Further on it was seen that the official Twitter account of Fidelity Digital Assets wrote that: at Fidelity Digital Assets, Mr. Dalio’s many of the concerns around bitcoin comes to be what they discuss with institutional investors every day.
As a sign that he personally or his hedge fund will soon buy bitcoin are some people seeing Dalio’s comments. Tweeting Abra CEO Bill Barhydt was saying that Ray Dalio does a 180 on bitcoin in the next 6 months or sooner as does anyone want to take a bet? Writing about it was Lark Davis aka The Crypto Lark, Ray Dalio and Bridgewater will be buying bitcoin within the next few months as he is calling it now.