Ray Dalio, a billionaire investor who is intrigued by NFTs, asserts that Bitcoin is a ‘alternative currency’
Ray Dalio, chairman of Bridgewater Associates, recently featured on Lex Fridman’s podcast. This hour-long conversation touched on a variety of subjects, including the fall of Empires, Bitcoin, NFTs, and even the DOGE-Musk connection.
Bitcoin, the world’s biggest cryptocurrency, has gone a long way from its inception. The development of the world’s biggest cryptocurrency has been remarkable. The credentials have been enhanced by several updates, institutional demand, and implementation. The hedge fund manager was similarly taken aback.
He refers to Bitcoin as “alternative money,” emphasising that it has achieved the position of imputed value. Having said that, this will neither rescue or protect BTC from increased competition. Due to widespread money production, a struggle between various sorts of currencies degraded value. Without a doubt, the executive continued,
“Bitcoin is a participant in that competition, but there will be a variety of currencies (not only cryptocurrencies)” Here is an alternative tale. Dalio goes so far as to suggest that non-fungible tokens may also share this blanket.
Earlier this year, NFTs saw a meteoric rise in popularity. This is why he thinks non-fungible tokens have the potential to become a distinct kind of money. Although the American millionaire has abstained from purchasing any NFTs so far.
Related: Ray Dalio Warns That If Bitcoin Becomes “Really Successful,” Regulators Will “Kill It,”
Since gold has been “universally acknowledged as money” for thousands of years, it remains a favoured “store-hold of wealth.” “Gold is still my preferred metal,” he admits. He outlined many benefits that Gold has over its digital counterpart.
“You have no way of tracing it” (Gold). With BTC, you can track its origins, who owns it, and so forth…” Additionally, it is the world’s third-biggest holder of central bank reserves.
Bitcoin to reach a million?
Dalio believes Bitcoin will never hit the $1 million level. “It is not realistic,” he said. According to his calculations, the flagship cryptocurrency is worth around 20% of gold (excluding central bank ownership and jewelry). This is why neither Bitcoin nor any other cryptocurrency will ever exceed gold.
The cryptocurrency market cap is presently over $2.4 trillion, while Bitcoin is trading towards the $1 trillion level. When compared to Gold ($5T), this does seem to be a mammoth effort. However, this does not imply it is impossible. This is the current state of the numbers at the time of writing.
He didn’t say much about this, but he did add how “funny” he thinks Tesla CEO Elon Musk’s plan to install meme cryptocurrency Dogecoin on the moon. To be sure, he made light of Musk’s aim for DOGE to reach the moon. Nonetheless, it’s worth noting that Musk was not joking about delivering Dogecoin to the Moon before.
Also Read: Elon Musk Responds To A New DOOM Mode That Allows You To Photograph NFTs For Money
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