Bitcoin is enjoying its moment in the sun now, but the world’s No. 1 digital asset could be severely opposed by a government looking to consolidate the decentralized crypto , according to Bridgewater Associates Ray Dalio.
“Every country is investing its monopoly on controlling supply and demand. They don’t want other money to work or compete, because things can get out of hand. So I think it is very likely that you will have it in a special situation banning the way gold was banned, ”Dalio told Yahoo Finance in an interview that began on Wednesday.
Dalio outlined a list of bitcoin’s positive attributes, including the following, its growth, its security, and the asset’s potential to be another asset and possibly a source of value.
“Bitcoin has proven itself over the last 10 years… it has worked largely … those are the benefits,” he explained.
However, he identified bitcoin as a potential threat to government control of their banking and money supply systems – “things can get out of hand. ”
Dalio’s comments come amid reports that India is considering banning cryptoassets, which could lead to crypto property ownership, mining, trading or movement.
The founder of Bridgewater also referred to an act in 1934, signed by President Franklin D. Roosevelt, which controversially abolished all private property and the use of gold as money. The act also established the institutional exchange sport as a reserve to stabilize the U.S. dollar after the government dropped the gold standard.
Bridgewater Dalio is the largest hedge fund in the world, managing approximately $ 140 billion and its net worth is $ 20.3 billion, according to Forbes.
At the last survey, bitcoin prices were changing hands at $ 55,969, up 2.6%, and it has gone up 93% so far in 2021. By comparison, gold prices are down 8.4% so far this year, while the Dow Jones industrial average Dow Jones,
up 7% year on date, S&P 500 SPX index,
it is up 4.7%, while the Nasdaq Composite Index COMP,
it went up 2.2% on the year.