Ray Dalio, the billionaire who founded the world’s largest hedge fund, Bridgewater Associates, said Wednesday morning that as Bitcoin becomes more successful, U.S. government regulators will move to “kill it,” according to CNBC.
Learn how smart money is playing the crypto game. Subscribe to our premium newsletter - Crypto Investor.
Speaking at the SALT conference in New York, Dalio told audiences: “I think at the end of the day if it’s really successful, they will kill it and they will try to kill it. And I think they will kill it because they have ways of killing it. But that doesn’t mean it doesn’t have a place — a value and so on.”
Over the past year, the value of Bitcoin has more than quadrupled, surpassing a high of $60,000.
Dalio himself owns Bitcoin as part of a diversified portfolio, despite claiming that the cryptocurrency lacks any intrinsic value. “I’m no expert on it … I think diversification matters,” he said. “Bitcoin has some merit.. The real question is how much [do you] have in gold versus how much you have in bitcoin,” he said.
“I think it’s worth considering all the alternatives to cash and all the alternatives to the other financial assets. Bitcoin is a possibility,” Dalio said. “It’s an amazing accomplishment to have brought it from where that programming occurred to where it is through the test of time.”
Dalio cited the real-world application of Bitcoin in countries like El Salvador, which made the cryptocurrency legal tender on September 7. Other countries like China and India, he said, were moving in the opposite direction despite the fact that cryptocurrency has merit as an alternative to cash and other financial assets.