Home News Ray Dalio said ‘cash is trash’ and revealed investments in Ethereum

Ray Dalio said ‘cash is trash’ and revealed investments in Ethereum

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An American billionaire Ray Dalio called fiat money a problematic asset in a comment on Yahoo Finance.

“That cash, which most investors think is the safest investment is. I think, the worst investment,” he said. According to Dalio, you should not judge the profitability of your assets in nominal terms. He called for an adjustment to the inflation of the United States dollar, due to which investors lost 4-5% in 2021.

The billionaire said that for real diversification, you should distribute your investment portfolio not only by asset classes but also by country. “I’m very big on diversification. And it’s a relatively small part of the portfolio,” he added.

Bitcoin is an alternative to gold for the younger generation

Earlier, the billionaire said that Bitcoin is an alternative to gold for the younger generation. In addition, he noted that the blockchain revolution is inevitable, but some governments may outlaw it.

In an interview with MarketWatch, the founder of Bridgewater Associates urged not to keep only cash, which is eaten up by inflation. And to form an “all-weather” portfolio for safety. It should be diversified by currencies, asset classes, countries and industries.

The billionaire doubted that the authorities of all countries of the world will eventually ban the first cryptocurrency. He found no reason to expect its inclusion as a reserve asset by central banks and large corporations.

Сreating attractive conditions for investing in cryptocurrency

Recall that in May, Dalio talked about buying Bitcoin, since the US dollar is depreciating, creating attractive conditions for investing in cryptocurrency. “Personally, I would rather have Bitcoin than a bond. I have Bitcoins”, said Dalio.

Comments from the founder of Bridgewater Associates suggest that he may be gradually adopting a preference for Bitcoin and crypto assets in general, which he previously expressed skepticism about.

Moreover, he expressed concern that government regulators could take harsh measures against cryptocurrencies and their owners. Back in March, the billionaire announced the high likelihood of a Bitcoin ban in the United States.

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