Billionaire Hedge Fund Investor Ray Dalio Now Advises Holding a Small Amount of Bitcoin. Here's Why He's Wrong.
The founder of Bridgewater Associates believes Bitcoin could perform well and is worth a small position.
Overview
Ray Dalio, founder of Bridgewater Associates, has softened his stance on Bitcoin (CRYPTO: BTC) over the years. In 2017, he called it a bubble and said it's "not an effective storehold of wealth."
But now, in an article he published on Aug. 21, he recommended that investors hold "a bit of Bitcoin," as he believes most economies face debt and deficit problems. He considers non-government-produced money like Bitcoin to be one way to navigate this risk, and he expects it will do relatively well.
Details
As far as how much "a bit" is, Dalio has previously said that allocating up to 2% of your portfolio to Bitcoin is reasonable. Even though I own Bitcoin, I disagree with Dalio's recommendation that risk mitigation is a reason to hold the cryptocurrency.
Source
Originally published at www.fool.com.