Bitcoin Could Be Banned Before Reaching Full Potential, Billionaire Investor Says
There are various optimistic predictions about the price of Bitcoin these days, especially since the king coin started to consolidate around $15k.
At the moment of writing this article, BTC is trading in the green, and the digital asset is priced at $15,885.26.
Bitcoin could be banned before reaching full potential
The online publication the Daily Hodl recently revealed that Ray Dalio, the founder of hedge fund firm Bridgewater Associates, said that he believes governments will outlaw Bitcoin (BTC) if its success is too great.
During a new interview with Yahoo Finance’s Julia LaRoche, the billionaire investor said that he prefers gold and he believes that the governments will never allow BTC to become a useful currency.
“If [Bitcoin] becomes material, governments won’t allow it. I mean, they’ll outlaw it, and they’ll use whatever teeth they have to enforce that,” he said.
He continued and explained: “They would say, ‘Okay you can’t transact [with] Bitcoin. You can’t have a Bitcoin.’ So then you have to be almost like, ‘Is it a felony and I’m going to have to be a felon in order to transact?’ They outlawed gold. What’s wrong with gold? Gold was a store hold of wealth.”
“So if I was to say, ‘Would I prefer Bitcoin to gold?’ No, I wouldn’t prefer Bitcoin to gold. Gold will be the vehicle that central banks and countries will choose as an alternative to the regular cash,” he said.
Other issues around Bitcoin
He also addressed other issues that he sees around BTC such as not being able to buy things with the coin too easily, its volatility, the fact that it’s not “an effective store hold of wealth” and more.
He also predicted that as the popularity of the coin surges, the digital versions of fiat currencies would crown out cryptos such as Bitcoin.
CoinMarketCap is a website that provides cryptocurrency market cap rankings, charts, and more. It was purchased by Binance for $400M in 2020.
Eduard Watson Author
An experienced finance writer for more than 10 years, active industry watcher, and gadget enthusiast.