Billionaires Ray Dalio and Steven Cohen are both joining the cryptocurrency movement, putting cash to work and saying that bitcoin is a new way to diversify their holdings, Reuters reported.
Dalio, the founder of Bridgewater Associates, the world’s largest hedge fund, said at the SALT conference Wednesday (Sept. 15) that he has more crypto than gold, according to the report. Meanwhile Cohen, head of Point72 Asset Management, said earlier this week at the conference that he hopes to be in on the opportunities of the crypto.
Dalio said diversification “is a good thing,” and portfolios need to spread across more asset classes, the report stated. He said China might be an “existential threat” to the U.S., and the U.S. needs to keep on top of what’s happening there.
Meanwhile, Cohen said he’s studying crypto on his own as a possibility for his firm. In May, he said it could be a mistake to ignore the market, valued at $2 trillion then, according to the report. Cohen also said he’s investing in digital asset investment and proprietary trading firm Radkl. Point72 is also building crypto-trading capabilities.
He added the new post-pandemic reality would be one in which flexibility is key, according to the report.
“I like working from home, and I don’t have to be in the office five days a week,” he said, per Reuters.
SkyBridge is hosting the SALT conference. The alternative investment firm, which was founded by Anthony Scaramucci, has 12% investment in bitcoin, the report stated. Crypto trading has been a major theme at the conference.
Crypto has been a popular topic as of late and has drawn scrutiny from regulatory officials. U.S. House Democrats are putting forward legislation that will help close a tax loophole for cryptocurrency investors, making it so crypto is subject to anti-abuse rules applying to stocks, bonds and other securities.