Ray Dalio, founder and co-chairman of the Westport-headquartered hedge fund Bridgewater Associates, is predicting the U.S. government may attempt to outlaw bitcoin and other cryptocurrencies.
In an interview on the Yahoo Finance talk show “Influencers with Andy Serwer,” Dalio said that bitcoin “has proven itself over the last 10 years ”“ it proved it hasn’t been hacked (and) it’s by and large therefore worked on an operational basis.”
While acknowledging the increased popularity in bitcoin could create a financial bubble, Dalio nonetheless observed that it “has built a significant following” ”“ which could raise red flags in Washington if policymakers see it as a challenge to the government”™s “monopoly on controlling the supply and demand” within banking.
Although he wondered if the federal government had the legal authority to prohibit cryptocurrency activities, he believed it would find a way to put a halt to this sector.
“So, I think that it would be very likely that you will have it under a certain set of circumstances outlawed the way gold was outlawed,” Dalio said. “And you’re watching that question arise in India today. India today is making the move to outlaw possession of it.”
The Gold Reserve Act of 1934 worked about as good as Prohibition. The government wants to keep a “monopoly” on a Federal reserve that $30Trillion+ in debt, has eroded value through inflation, and is on track to be knocked off as the global reserve currency (Bretton Woods is coming to a close)……? Bitcoin was created in 2009 as a direct result of the irresponsible behavior and failed government/bank policies. Theres a reason it halves on the US presidential election every four years. Trying to stop Bitcoin or other Crypto currencies is like trying to stop the development and growth of the Internet, it’s just not going to happen.