Former bitcoin sceptic Ray Dalio expresses how BTC could provide protection against collapsing Fiat currency

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• Ray Dalio, a well-known investor recently turned to the world of bitcoin earlier this year. 

• He recently said in an ask me anything session that the leading coin could provide protection against the depreciating value of Fiat currency.

Ray Dalio, a well-known investor recently turned to the world of bitcoin earlier this year. He recently said in an ask me anything session on the Reddit social platform that the leading crypto coin could provide protection against the depreciating value of Fiat currency.

Before last month, Reddit was a well-known sceptic of bitcoin but said in November that the asset could complement gold as an investment.

“I think that bitcoin (and some other digital currencies) have over the last ten years established themselves as interesting gold-like asset alternatives, with similarities and differences to gold and other limited-supply, mobile (unlike real estate) storeholds of wealth.”

He added:

“So it could serve as a diversifier to gold and other such storehold of wealth assets.”

The investor went on to discuss his opinions on numerous different aspects of the international economy as it stands. Following the coronavirus pandemic, economies all over the world started to print more money in order to keep up with the increasing debt due to the economic crisis. The United States particularly printed trillions upon trillions of US dollars as a response.

Ray went on to argue that asset inflation would kick in as more money printing goes on, adding:

“We are in a flood of money and credit that is lifting most asset prices and distributing wealth in a way that the system that we’ve come to believe is normal is unable to, and that is threatening to the value of our money and credit… Most likely that flood will not recede, so those assets will not decline when measured in the depreciating value of money. It is important to diversify well in terms of currencies and countries, as well as asset classes.”

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