American billionaire investor Ray Dalio said how much one needs to invest in bitcoins under current market conditions.
The U.S. government spends 40% more than it receives, and it cannot reduce expenditures. As a result, the national debt is six times greater than budget revenue, and the treasury has to allocate $1 trillion a year for interest payments, which accounts for half of the budget deficit. Authorities can only pay off the debt by issuing new bonds and printing money, Ray Dalio stated.
This situation leads to the devaluation of the dollar and, consequently, the depreciation of savings in fiat currency. To protect his savings in the face of accelerating inflation, Ray recommends allocating at least 15% of the investment portfolio for buying bitcoins or gold.
Dalio prefers precious metals over cryptocurrency, but acknowledges that this is his personal choice, and people can decide for themselves what suits them best. Among the disadvantages of BTC, the billionaire noted:
Lack of privacy because information about all transactions is publicly accessible;
Possible vulnerabilities in the blockchain's source code;
The threat of potential changes to the network protocol in the future, which would make cryptocurrency less attractive, for example, increasing the maximum allowable number of coins.
I have gold and bitcoins, but not much, Ray summarized.