Legendary investor Ray Dalio nonetheless solely holds 1% of his portfolio in Bitcoin — and prefers gold as a substitute.
Talking on a Thursday episode of the Diary of a CEO podcast, the Bridgewater Associates founder defined that whereas there are several types of cash, and Bitcoin was one in every of them, gold was a greater funding.
Dalio has gone from saying he wouldn’t spend money on Bitcoin through the years to lastly admitting it was in his portfolio.
“[Bitcoin] is a sort of cash that may’t be printed, however there are applied sciences that may damage it — in different phrases, if there’s quantum computing,” he mentioned.
“And it may be monitored by governments and so forth, and it could possibly be taxed. And digital currencies are considerably comparable.”
Dalio added that Bitcoin solely makes up 1% of his portfolio. “I desire that — I’m pointing to the gold bars right here — reasonably than the Bitcoin,” he added on the present.
Final 12 months, Dalio additionally admitted that Bitcoin solely made up 1% of his investments.
This isn’t the primary time Dalio has criticized Bitcoin and praised gold: Again in 2020, the billionaire investor mentioned that the cryptocurrency was too unstable to make use of as cash however mentioned everybody ought to have some gold of their portfolio.
Dalio continued that governments might crack down on Bitcoin. “When the governments say I don’t need it, they’ve the ability, subsequently, to do no matter they need with it, and central banks is not going to personal any important quantity of that due to the rationale I mentioned: they need their transactions to be non-public and of their management.”
Whereas Dalio nonetheless takes a cautious method to Bitcoin shopping for, through the years, the asset has turn into extra broadly accepted amongst conventional buyers and even Wall Road heavyweights — together with BlackRock, the world’s largest asset supervisor.
BlackRock CEO Larry Fink lately has known as Bitcoin an “worldwide asset” and a means of “digitizing gold.”