Per BI

American Investor Ray Dalio has recently shared his thoughts regarding the debt ceiling. He shared his belief that should the debt limit increase, the result could eventually become a "financial collapse."

Dalio: "Increasing the debt limit the way Congress and presidents have repeatedly done, and most likely will do this time around, will mean there will be no meaningful limit on the debt. This will eventually lead to a disastrous financial collapse."

The Bridgewater Associates founder commented that allowing the US to default wasn't something he would expect lawmakers to do. However, he also talked about the long-term effects of once again raising the debt limit.

This comes in contrast with President Joe Biden and House Speaker Kevin McCarthy, who have shared their hopes of avoiding default by reaching a deal on debt limits. However, Dalio says spending more than one was earning wasn't sustainable.

Dalio: "I think that the leader(s) who come out in favor of this kind of smart bipartisan path should receive huge bipartisan support rather than the alternative path of not finding a smart bipartisan approach, which assuredly will lead us toward disaster."

In February, Ray Dalio shared his thoughts, saying that "money as we know it is in jeopardy." In May 2022, the billionaire said that cash was trash and that the US was printing too much of it.

He also noted that it wasn't just the US printing too much money. Dalio also pointed out China's efforts to conduct trade in the yuan as it also tries to promote its digital currency.

Ray Dalio also shared how he preferred gold to Bitcoin in an appearance on Chris Williamson's YouTube podcast. During that time, he did, however, reveal that he owned a small amount of Bitcoin.

He then emphasized its unpredictable price movements, which was why he said he preferred gold as an investment compared to the digital currency.

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