Ray Dalio, founder of the $150 billion hedge fund Bridgewater Associates, believes bitcoin has âproven itselfâ in the last 10 years but still sees a âgood probabilityâ that it will be outlawed by governments.
Speaking to Yahoo Financeâs Andy Serwer on Wednesday, the billionaire investor said it was âvery likely under a certain set of circumstancesâ that bitcoin would be âoutlawedâ as gold was in the 1930s.
Under the U.S. Gold Reserve Act of 1934, it became illegal for individuals to own gold because, according to Dalio, governments did not want gold to compete with money or credit as a store of value.
âEvery country treasures its monopoly on controlling the supply and demand. They donât want other monies to be operating or competing, because things can get out of control,â Dalio added, citing Indiaâs proposed ban on crypto as an example.
He added that bitcoin has âproven itself over the last 10 years,â having not been hacked and building a significant following.
Dalio has previously warned about the possibility of cryptocurrency bans by governments.
On other occasions, he expressed positive sentiment about bitcoinâs role as a diversifier in investment portfolios.
In November, prior to BTCâs staggering run-up to $50,000 and beyond, Dalio said if bitcoin or other cryptos become âmaterial,â governments will âoutlawâ it. âTheyâll use whatever teeth they have to enforce that,â he said at the time.
