Billionaire Ray Dalio Explains Why Bitcoin and Cryptocurrencies Are Surging

Ray Dalio, billionaire investor and founder of Bridgewater Associates, said the U.S. economy is at risk of a “debt-induced heart attack” in the next few years. This, he said, could push up gold and cryptocurrency prices. Dalio, stating that his interview with the Financial Times was misrepresented, shared his views in writing on his social media account. Highlighting the US's excessive debt burden, Dalio stated that current budget projections could create a serious economic shock within the next three years: “The US's annual interest payments have reached $1 trillion and are rising rapidly. Approximately $9 trillion in debt needs to be rolled over. This situation points to a debt-fueled economic heart attack.” Dalio emphasized that the process resembles the final stages of a classic “great debt cycle.” He said that during this phase, central banks will face two options: either trigger a debt crisis by raising interest rates or finance debt purchases by printing money. The latter, he argued, could weaken the dollar's reserve currency status by devaluing the currency. Related News: BREAKING NEWS: Coinbase Announces Surprise Altcoin Listing! “I believe the bad debts of governments using the dollar and other reserve currencies threaten their appeal as reserve currencies and stores of wealth. This is contributing to the rise in the prices of gold and cryptocurrencies,” he said. “Crypto is now an alternative currency with a limited supply, so, all things being equal, if the supply of dollars increases and/or demand decreases, this would make crypto an attractive alternative currency,” he added. Dalio said investors are turning to cryptocurrencies, along with gold, in their search for safe havens. According to the billionaire, digital assets like Bitcoin will appreciate as the dollar's reserve currency status weakens in the final phase of the debt cycle. *This is not investment advice. Continue Reading: Billionaire Ray Dalio Explains Why Bitcoin and Cryptocurrencies Are Surging