According to U.Today, Ray Dalio shared some views in a recent blog post, suggesting that he may be optimistic about Bitcoin. Dalio pointed out that a good currency should be a means of transaction and a place to store wealth, and be accepted globally. Currently, the main competitors are the US dollar, euro, yen and renminbi. But the problem is that these are all linked to debt.

He highlighted a simple fact: when there is a high risk that debts cannot be repaid or will be repaid in a devalued currency, confidence falls. If a country has too much debt, its central bank may print more money to ease the pressure, causing the currency to depreciate. However, gold is different, it is not backed by debt and is more resistant to the devaluation of cash and bonds caused by inflation. Central banks and investors like gold because it will not collapse under debt defaults and inflation. In fact, it is the third largest reserve after major currencies. Now, cryptocurrencies are also non-debt currencies like gold.

Financial assets are solid when the system works well, there are no debt or inflation crises, and governments manage their monetary responsibilities and do not devalue their currencies. But when problems arise, Dalio said gold is a good asset because it is a reliable hedge. He was careful to clarify that he did not directly provide investment advice, just his views on the market.