This commentary from Bridgewater founder Ray Dailo on the leading cryptocurrency, 3 reasons it won’t be used in everyday transactions:
- isn’t “very good as a store-hold of wealth because it’s volatility is great and has little correlation with the prices of what I need to buy”
2. governments will likely ban it – “and make it too dangerous to use”
3. also says big institutional players such as central banks, institutional investors, businesses, or multinational corporations will not hold large amounts of bitcoin as a reserve asset.
On his point #1 I can easily concur. I don’t want to be paying 10,000 BTC for a pizza (remember that) only to find it trading at 17K soon after … 😀
Still … Dalio’s objections doesn’t mean its not a great trading vehicle.