Ray Dalio, billionaire hedge fund manager during his interview at Consensus revealed that he holds Bitcoin on his portfolio. During his conversation, Dalio revealed that he would prefer Bitcoin over bond in an inflationary scenario. He said,
“Personally, Id rather have bitcoin than a bond” and added, “I hold some Bitcoin”
Dalio changed his stance on the top cryptocurrency like many others towards the end of December last year and since then has been quite bullish about it. Earlier the billionaire had criticized Bitcoin for its volatility and claimed its high price fluctuation would not make it suitable either as a form of payment or store of value.
“Personally, Id rather have bitcoin than a bond” in an inflationary scenario, @RayDalio said during a conversation with @mikejcasey at #Consensus2021.
Watch his full remarks by registering for our virtual event: https://t.co/PJg71S61Ru pic.twitter.com/qH4YUtfhI3
— CoinDesk (@CoinDesk) May 24, 2021
Dalio even during his criticism days was open to suggestions and has said earlier that he is ready to listen to the other side and understand why they think that he is wrong in his assessment. However, now seems he has put a lot of thought behind Bitcoin and has studied its socio-economic impact. During the interview, he added that central banks would never hold Bitcoin. He concluded.
“I think bitcoins greatest risk is its success.”
Bitcoin is Increasingly Becoming Choice of Hedge Funds
The 2017 bull run was mostly carried by retail investors while Wall Street Hedge Fund giants watched from the sideline claiming its volatility is too risky to use as a portfolio diversification tool. However, the current bull run seems to have changed that stance quite quickly as banking giants such as JP Morgan and Goldman Sachs along with several Hedge Funds are offering Bitcoin-based investment vehicles for their clients.
Millennium Management, a $48 Billion Hedge Fund invested in Grayscale Bitcoin Trust (GBTC), a popular Bitcoin investment vehicle for US institutions until the approval of the first Bitcoin ETF. Even during the recent turmoil in the crypto market, Chainalysis data indicate hedge funds bought the dip with over 30,000 Bitcoin purchases.