Matt Hougan, chief investment officer at Bitwise, has urged investors to buy Bitcoin following a recent debt warning issued by legendary hedge fund manager Ray Dalio.
Dalio noted that the much-talked-about budget bill, which was recently passed by both chambers of Congress, will lead to $7 trillion a year in government spending, with annual revenue being about $5 trillion. This means that $2 trillion will be added to the federal deficit on a yearly basis.
He also pointed out that the current U.S. national debt is roughly six times larger than the government's annual income.
In fact, the current U.S. debt equals its entire gross domestic product (GDP), which means that the world's leading economy owes as much as it produces.
Dalio also showed the scale of the debt problem in personal terms, pointing to the fact that each family's "share" of the debt now stands at a stunning $230,000.
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A lot of Bitcoin advocates have jumped on Dalio's warning to make a case for buying the cryptocurrency, which is typically viewed as a hedge against excessive government spending.
Asreported by U.Today, Dalio originally started buying Bitcoin back in 2021.
He recentlystated that Bitcoin is the most popular alternative to gold, but he still prefers the latter since the largest cryptocurrency can be "politically controlled" due to the lack of privacy. Dalio also expressed concerns about Bitcoin being potentially hacked.
