Ray Dalio: "bitcoin is a bubble"

Bridgewater Associates founder Ray Dalio said Tuesday he is not a believer in cryptocurrencies
"Bitcoin today you can't make much transactions in it. You can't spend it very easily," Dalio said on Bloomberg "It's not an effective store-hold of wealth because it has volatility to it unlike gold ... Bitcoin is a highly speculative market. Bitcoin is a bubble."
The investor explained there are two important facets to being considered a valid currency, including ease of transactions as a medium of exchange and for it to be a "store-hold of wealth."
"It's a shame, it could be a currency. It could work conceptually, but the amount of speculation that is going on and the lack of transactions [hurts it]," he said.
Dalio wrote about his life lessons and the initial failures during his career in his book entitled "Principles: Life and Work," available on Tuesday.
The firm currently manages about $160 billion, according to its website. Dalio started the firm in 1975 out of his two-bedroom apartment in New York City.
Dalio's negative comments come a week after JPMorgan Chase CEO Jamie Dimon also took a shot at bitcoin, saying the cryptocurrency "is a fraud."
"It's just not a real thing, eventually it will be closed," Dimon said at the Delivering Alpha conference presented byBloomberg and Institutional Investor.

Source: Bloomberg Pro Terminal

Trader Velizar Mitov

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