Ray Dalio on Bitcoin, Ethereum 2.0 Set to Launch, and Investing in Cockroaches

Hey Redpill Readers!

Here are the latest must reads in the cryptoverse...



BILLIONAIRE RAY DALIO SEES GOVERNMENTS BANNING BTC

The head honcho at Bridgewater Associates, Ray Dalio, had a stark warning about how future governments will deal with Bitcoin.

The founder of the world's largest hedge fund recently said… he sees three problems with BTC (and cryptocurrencies) that could change things a lot:

  • Lack of venues... He argued that there are not enough venues and retailers that accept cryptocurrencies for purchase. Which is why the American billionaire went on to say: "I can't take my Bitcoin yet and buy things easily with it."

  • Way too volatile... Dalio said it's volatile nature could affect its future. And he's got a point, if we really want to use BTC and cryptos for transactions. But do we?

  • The billionaire also predicts: Governments will "outlaw" bitcoin. In fact, he believes they will "use whatever teeth they have to enforce that."

Diversify with gold? Dalio instead praised gold and central bank digital currencies.

But he's not the end all, be all. 

THE TAKEAWAY

There are other legends in the traditional financial world that have spoken up…

Like who?

Well, there’s Mexican billionaire Ricardo Salinas Pliego, the second-wealthiest man in Mexico and 166th wealthiest person in the world. 

He revealed that 10% of his “liquid portfolio” is invested in Bitcoin.

Honestly, it’s about time Ricardo stepped up his game.

And there’s more... 

How about billionaire investor, Stanley Druckenmiller, who built his $4.4 billion fortune as the head of Duquesne Capital Management. 

Quick rewind: He claimed in 2018 that he “didn’t want to own bitcoin,” yet he recently came out and changed tune. He said and we quote: "If the goldback works, the Bitcoinback will probably work [even] better."

If we didn’t know better…

It sure sounds like Druckenmiller has taken the redpill.

Exit the matrix. And join the club, Stan. It’s never too late.

Next up?

ETHEREUM 2.0 UPGRADE IS COMING REAL FAST

Eth 2.0 is right around the corner, folks.

What does it bring to the table?

In a nutshell:

  • It's a multi-year plan to improve the scalability, security and programmability of Ethereum (but without compromising on decentralization).

  • This is happening under what Vitalik Butirin refers to as a “rollup-centric ethereum” with a lot of exciting new capabilities. Ethereum will soon be able to scale, and scale fast, to around 3,000 transactions per second. Don’t know about you. But we like it fast. Fast like a nascar.

  • The development for Eth 2.0 is built around a separate proof-of-stake blockchain network called the beacon chain. And, on this new platform, all you ETH holders with a minimum of 32 ETH will be able to earn rewards in the form of annualized interest on their wealth.

Which leads us to a big question...

Would you rather have 1 BTC or 32 Eth? It's your call.

THE TAKEAWAY

Right now, more than 500,000 ETH have been locked and loaded into Eth 2.0’s deposit contract, jump-starting this new network (and multi-year development phase).

Meanwhile, JPMorgan analysts say: Institutions are all piling into Bitcoin. 

The truth is...

You really can't go wrong with either of these two options.

GOLD BUG CHANGES GAME PLAN AND INVESTS IN BTC ‘COCKROACH’

Here are the deets: Pendal Group, an Australian Securities Exchange-listed investment manager with over A$100 billion (US$73.6 billion) in assets under management, is making a splash in our space. How, you ask?

Well...

They're getting into Bitcoin and for good reason.

Says who? Says Vimal Gor: Right now, he’s Pendal’s head of bond, income and defensive strategies. And he said recently that the company is now investing in Bitcoin futures on the Chicago Mercantile Exchange (CME).

THE TAKEAWAY

Zooming with the Australian Financial Review: Gor thinks not only is bitcoin “entering the realm of mainstream,” as shown by the entrance of major hedge fund managers, but that no one entity can stop it.

In fact... he took it a step further with another goodie. He said “bitcoin is a cockroach that exists [and that] they can’t ban it out of existence.”

This is an arrow shot back at Dalio... and his prediction of a government ban. But we agree with Gor. Can’t get rid of cockroaches. 

And you certainly won’t get rid of BTC.

But good luck trying.

MORE REDPILL CRYPTO NEWS


DISCLAIMER: Newsletters published by Redpill Crypto Research reflect the opinions of only the editors who are associated persons of the firm and do not reflect the views of anyone else. They are meant for informational purposes only, are not intended to serve as a recommendation to buy or sell any security in a self-directed account with Coinbase Inc. or any other account, and are not an offer or sale of a security. All investments involve risk and the past performance of a security or financial product does not guarantee future results or returns. Cryptocurrencies and digital assets are speculative and highly volatile, can become illiquid at any time, and are for investors with a high risk tolerance. Investors could lose the entire value of their investment.

Redpill Crypto Research will have no liability whatsoever for any expenses, losses (both direct and indirect) or damages arising from, or in connection with, the use of information in this newsletter. Readers are encouraged to conduct their own research and due diligence, or obtain professional advice, prior to making any investment decision.© 2020 Redpill Crypto Research. All Rights Reserved.


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