Anand Sinha
1 min read
Billionaire Ray Dalio sends blunt warning about ticking debt bomb originally appeared on TheStreet.
Ray Dalio, the billionaire hedge fund manager who founded Bridgewater Associates, expects "non-government produced monies" like Bitcoin and gold to perform well as most countries, including the U.S., the U.K., China, and Japan, face similar debt and deficit problems.
Dalio also recommended investing in Bitcoin and gold as part of portfolio diversification as general advice, though he underlined that everyone’s financial situation is different.
The above are only a few of the points discussed in Dalio's newly released book, "How Countries Go Broke: The Big Cycle In a Tiny Nutshell."
The book is a warning about the U.S. facing a potential economic collapse due to the rising national debt.
As the debt outweighs revenue, the government usually chooses to go forward with either of these two options: borrow more or print money. The former leads to more debt and debt payments, and the latter leads to currency devaluation, Dalio warned.
The U.S. is close to the verge of witnessing an "economic heart attack" due to its debt problem, the billionaire hedge fund manager warned, echoing the sentiments of Elon Musk who had an ugly public spat with President Donald Trump over the same issue.
Over the next ten years, Trump's "big, beautiful bill" could add up to $3.8 trillion to the already rising national debt of $36.9 trillion, the Congressional Budget Office estimates.
The passage of the bill has faced several challenges from close quarters. However, it could also offer an opportunity for investors to choose Bitcoin as a hedge against excessive government debt.
As per Kraken, Bitcoin was trading at $108,948.65 at press time.
Billionaire Ray Dalio sends blunt warning about ticking debt bomb first appeared on TheStreet on Jun 10, 2025
This story was originally reported by TheStreet on Jun 10, 2025, where it first appeared.
