Ray Dalio calls Bitcoin ‘gold for the young’.

Bitcoin effectively serves as an alternative to gold for the younger generation. The blockchain revolution is inevitable, but some governments may outlaw it, billionaire Ray Dalio said.

Ray Dalio：Bitcoin is almost a younger generation’s alternative to gold. I believe in the blockchain technology; there’s going to be that revolution. But If it is a threat to governments, it will probably be outlawed in some places. https://t.co/IDCIt24zIg

— Wu Blockchain (@WuBlockchain) December 16, 2021

In a MarketWatch interview, Bridgewater Associates founder urged not to hold cash only, which is eaten away by inflation, and to hedge by assembling a ‘all-weather’ portfolio. It should be diversified by currencies, asset classes, countries, and industries.

A portion of such a portfolio may be Bitcoin. Dalio compared it to gold, the ‘blue chip’ relative to fiat.

The billionaire doubted that authorities worldwide would ultimately ban Bitcoin. He found no grounds to expect it to be included as a reserve asset by central banks or large corporations.

Dalio reminded that for diversification he has moved a portion of his assets into Bitcoin because of its ‘conditionally calculated value’.

During the conversation, the billionaire voiced concerns about a potential economic downturn amid tightening monetary policy Fed. In the expert’s view, this could occur if the interest rate is raised above market expectations.

In December’s meeting, the Fed allowed three rate hikes in the next two years.

Earlier, Dalio predicted regulators would take Bitcoin under control in the event of its mass adoption.

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