Ray Dalio warns that the Bitcoin code is weak, cryptocurrency analysts respond
16:15 ▪ 5 min read
Ray Dalio, founder of Bridgewater Associates, has pointed out the Bitcoin code as a potential weakness, raising doubts about its long-term viability. His comments have provoked backlash in the crypto community, with analysts defending the resilience, transparency, and proven track record of Bitcoin as a store of value.
In summary
Ray Dalio points out that the code and transparency of Bitcoin are obstacles to its adoption as a global reserve currency.
Crypto analyst Adam Livingston defends Bitcoin, arguing that its transparency is, in fact, a strength that reduces systemic financial risks.
Bitcoin, currently at $122,000 with a market capitalization of $2.4 trillion, has processed over $10 trillion in on-chain transactions since its launch.
Despite his concerns, Dalio acknowledges that Bitcoin is "hard money" and maintains a small allocation as a hedge against volatility.
Dalio warns that the Bitcoin code limits its potential as a reserve currency
Speaking on The Master Investor Podcast, Dalio questioned whether Bitcoin could eventually serve as a complete substitute for money, despite its growing role as a store of wealth.
He mentioned that Bitcoin has many characteristics associated with money, including its limited supply and its ability to facilitate transactions worldwide.
Its supply is limited. It has certain benefits for transactions very easily worldwide. It can be transacted with. And that's why it has those elements.
