Advertisement
AD
Advertisement
AD

Ray Dalio Reveals What Will Make Crypto Attractive Alternative Currency

Wed, 3/09/2025 - 5:56
The legendary hedge fund manager has warned that the "big debt cycle" is coming to an end
Advertisement
Ray Dalio Reveals What Will Make Crypto Attractive Alternative Currency
Cover image via youtu.be
Read U.TODAY on
Google News
Advertisement

Former Bridgewater Associates CEO Ray Dalio has opined that crypto now serves as an "alternative cryptocurrency" with limited supply. 

Dalio is convinced that crypto could become a more attractive option if the supply of the US dollar rises or there is a sizable decrease in demand for the greenback. 

Fiat will struggle to be an efficient "storeholds of wealth" relative to hard assets, Dalio predicts. 

The end of the big debt cycle?

According to Dalio, a long-term "big debt cycle" is finally coming to an end, and central banks will have to face difficult choices. 

Advertisement

If central bank intervention stops, interest rates will rise due to natural market forces, Dalio believes. While this will cool inflation, it will also lead to a possible wave of defaults since companies and individuals would find it more difficult to service debt. 

The alternative, according to Dalio, is to create even more money, which is known as quantitative easing (QE). This will, of course, further undermine confidence in the fiat currency. 

You Might Also Like

Dalio believes that there will be a vicious cycle, where central banks are forced to print more money to serve the existing debt. 

Dalio's Bitcoin views

Dalio, a former Bitcoin skeptic, initially revealed that he had purchased Bitcoin back in May 2021. He has maintained some minor exposure to the leading cryptocurrency while claiming that gold would be a much better alternative.  

However, as reported by U.Today, he recently made some headlines by backing a surprisingly high 15% portfolio allocation to either Bitcoin or gold, arguing that it would make it possible to achieve the best return-to-risk ratio.  

Advertisement
Advertisement
Advertisement
Subscribe to daily newsletter

Recommended articles

Our social media
There's a lot to see there, too
Advertisement
AD