Billionaire and Bridgewater Associates founder Ray Dalio recently suggested that investors invest a maximum of 15% of their portfolios in gold or Bitcoin.
Speaking on the Master Investor podcast to CNBC journalist Wilfred Frost, Dalio stated that, from an unbiased portfolio optimization perspective, one seeks maximum risk-adjusted returns without strong biases.
Although Dalio remains a gold believer, his investment of choice over Bitcoin is due to the BTC’s historical value; he did concede, however, that investors would need to make their own risk tolerance.
Dalio’s Bitcoin Perspective: Ownership, Doubts, and Central Bank Resistance
Dalio stated that he still owns Bitcoin after having purchased it four years ago, a sign of his continued interest in Bitcoin.
He appreciated Bitcoin for its merits, like fixed supply and transaction advantages, which have caused many to consider it some sort of digital currency.
However, he remained opposed to the possibility of central banks using Bitcoin as a reserve.
In Dalio’s view, Bitcoin lacks the anonymity required for official reserves and comes with limitations not faced by gold.
Besides, he showed concern about the technological soundness of Bitcoin, pondering if its code could be broken or if governments could heavily compromise it.
Also Read: Brazil Eyes Bitcoin as Economic Hedge, Lawmaker Pushes for National Reserve
A Stark Warning on U.S. Debt Places Dalio’s Advice into Context
Dalio’s backing of gold and Bitcoin follows his stark warning about the sustainability of U.S. debt.
Discussing America’s runaway fiscal deficit, he noted that the country now owes six times its yearly revenue haul.
In the U.S. alone, Dalio estimated that they would be required to issue a sum of $12 trillion in debt next year.
The grim projection is one reason why investors may need to hedge against traditional financial systems.
His comments have provided added support to the argument for retaining alternative forms of value like Bitcoin and gold as macroeconomic uncertainty insurance.
Additional Industry Pioneers Align Bitcoin’s Value Proposition
Dalio is not alone in his assessment. There are additional industry pioneers and finance experts who have lent similar support to Bitcoin as a strategic asset.
Binance CEO Richard Teng recently called Bitcoin “digital gold” and an equity market volatility hedge in a post on X in May.
Teng emphasized the asset’s diminishing supply and growing institutional adoption, which makes it a secure value store in uncertain economic times.
His opinion mirrors very closely Dalio’s risk-management perspective, to the same leading financial thinkers’ increasing legitimacy attributing to the asset.
Also, in June, Rich Dad Poor Dad author Robert Kiyosaki once again made a compelling argument for Bitcoin as a hedging asset.
With increasing global debt and geopolitical tensions, such as escalating tensions between Iran and Israel, Kiyosaki warned that a global monetary collapse is imminent.
As a means of defense against the threat, he advises investors to accumulate real assets that maintain value outside of traditional fiat systems.
The convergence of advice from Dalio, Teng, and Kiyosaki is a marker of growing consensus among top financial minds that diversification into gold and Bitcoin is not merely cautious, it may soon be a requirement.
Also Read: Leading Crypto Hedge Fund in Hong Kong Announces $23M Dividend Payout Amid Regulatory Milestones