[Bitcoin Now] Staying Around 62 Million Won... Ray Dalio Says "Diversify Assets Including Bitcoin"

Ray Dalio Raises Possibility of Economic Crisis Due to US-China Trade Conflict
Celebrities Receiving Bitcoin Salaries... Salaries Dropped About 20% Instantly During the Crash on the 4th

[Image source=AP Yonhap News]

[Asia Economy Reporter Gong Byung-sun] The leading cryptocurrency Bitcoin remained in the 62 million KRW range. Meanwhile, Ray Dalio, CEO of Bridgewater Associates, the world's largest hedge fund, argued that asset diversification including Bitcoin is necessary to prepare for a global economic recession.

According to domestic cryptocurrency exchange Upbit, as of 2:57 PM on the 8th, Bitcoin was recorded at 62.44 million KRW, down 1.20% from the previous day. Bitcoin had dropped to 56 million KRW on the 4th but rebounded to the 62 million KRW range and has shown little fluctuation since.

CEO Dalio claimed that Bitcoin is one of the assets that can hedge against risk. According to US economic media CNBC on the 7th (local time), Dalio said, "Holding cash is not safe," and "Assets should be diversified, including cryptocurrencies." Earlier in May, he revealed that he holds Bitcoin and stated that he prefers Bitcoin over US Treasury bonds.

The reason Dalio emphasized asset diversification is due to the increasing possibility of an economic crisis. He said, "As the US engages in a trade war with China, prices have surged and unemployment has risen," adding, "The US economy will suffer the aftereffects of the US-China trade conflict." In fact, according to the New York Federal Reserve Bank last year, US companies lost about $1.7 trillion (approximately 2,000 trillion KRW) in market capitalization due to the US-China trade conflict.

[Image source=AP Yonhap News]

Meanwhile, due to the recent cryptocurrency crash, the risk of Bitcoin as a currency has been reemphasized as salaries paid in Bitcoin have significantly decreased. According to US economic media Bloomberg on the 7th, Bitcoin plunged 21% on the 4th, causing the cash value of salaries paid to celebrities receiving Bitcoin to also decline. This highlights the volatility, the biggest drawback of cryptocurrencies, once again.

Recently, politicians and celebrities have declared their intention to receive salaries in cryptocurrencies. Last month, Francis Suarez, Mayor of Miami, announced that he would receive his entire salary in Bitcoin and plans to pay the salaries of 4,000 employees in Bitcoin as well. Additionally, Eric Adams, the Mayor-elect of New York, said, "I will receive Bitcoin as my salary for the first three months after taking office on the 1st of next month," and stated he will look for ways to pay salaries in cryptocurrencies.