According to ChainCatcher, citing CoinDesk, billionaire hedge fund manager Ray Dalio stated that Bitcoin’s lack of privacy allows transactions to be monitored and potentially controlled, which is a primary reason central banks are reluctant to hold it. Dalio noted that about 1% of his portfolio is allocated to Bitcoin, but he believes its transparent ledger makes it difficult to serve as a reserve asset. He also pointed out that Bitcoin’s 90-day correlation coefficient with the Nasdaq index is 0.89, meaning approximately 79% of its price movements can be explained by trends in tech stocks, undermining its function as an independent store of value. Additionally, Dalio emphasized that Bitcoin’s market size remains much smaller than gold’s and is more susceptible to influence, leading him to conclude that gold still plays a more central role in the global financial system.
Ray Dalio: Bitcoin transactions are traceable; central banks are unlikely to adopt it.
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Summary
Bitcoin news: Ray Dalio said Bitcoin transactions are traceable and lack privacy, making it unsuitable as a central bank reserve. He holds about 1% of his portfolio in Bitcoin but argues that its transparent ledger and 0.89 correlation with the Nasdaq undermine its value proposition. Bitcoin analysis shows it remains smaller and more volatile than gold, which Dalio views as more central to the global financial system.
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