Billionaire Ray Dalio explains why Bitcoin ‘hasn’t played the safe-haven role’ 

Bridgewater Associates founder Ray Dalio, has once again highlighted the distinctions between Bitcoin (BTC) and gold. He argued that the cryptocurrency has not fulfilled the expectations many investors placed on it as a reliable safe-haven asset during periods of market stress and economic uncertainty, Dalio said in an X post on May 11. In his post, Dalio pointed to Bitcoin’s transparent on-chain ledger, arguing that its traceable nature makes it less attractive for large institutions such as central banks. He contrasted this with gold’s long-established role in the global financial system, supported by deep, widespread holdings and a unique status few assets can match. Dalio also highlighted Bitcoin’s tendency to move alongside technology stocks. During liquidity crunches or periods of market stress, investors often sell Bitcoin alongside other risk assets to raise cash instead of treating it as a defensive hedge. He noted that this pattern has been visible in recent cycles, with gold outperforming while Bitcoin experienced sharp drawdowns. The billionaire investor further argued that Bitcoin’s market remains relatively small and more vulnerable to influence compared to the vast, centuries-old gold market, reinforcing the precious metal’s position as a leading store of value. Notably, Dalio has consistently argued that there is “only one gold,” emphasizing its unmatched role in central bank reserves and as a reliable hedge during economic stress. Dalio’s stance on Bitcoin has evolved. After initially approaching the asset cautiously, he later acknowledged its potential as an alternative store of value and acquired a small personal holding. In 2025, he recommended investors allocate about 15% of their portfolios to gold or Bitcoin combined as a hedge against debt and fiat currency risks, though he personally favored gold and kept only around 1% exposure to Bitcoin. Drawing on decades of studying market cycles, Dalio has warned about bubble-like conditions, rising debt, and shifting global power dynamics. While Bitcoin has gained adoption through corporations and ETFs, he maintains that it behaves more like a risk asset than a true safe haven, unlike gold, which continues to hold a central role for institutions and long-term investors seeking stability. Disclaimer: The featured image in this article is for illustrative purposes only and may not accurately reflect the true likeness of the individuals depicted.