Ray Dalio, the famed founder of Bridgewater Associates, called Bitcoin (BTC) “one hell of an invention,” adding that he’s considering digital-asset investing for clients wishing to protect against currency debasement. 

In a note to clients that was obtained by Bloomberg News, Dalio called Bitcoin’s store-of-value characteristics an “amazing accomplishment” and one of the few “alternative gold-like assets at this time of rising need for them.”

He said:

“To have invented a new type of money via a system that is programmed into a computer and that has worked for around 10 years and is rapidly gaining popularity as both a type of money and a storehold of wealth is an amazing accomplishment.”

Bridgewater Associates is the world's largest hedge fund, with assets under management of roughly $160 billion. The firm is trusted by institutional investors and other high-net-worth individuals to produce steady returns regardless of the market environment.

Like other hedge fund managers, Dalio has been critical of Bitcoin in the past. In November 2020, he criticized BTC for its excess volatility, claiming that it could never be an effective medium of exchange or store of value. He quickly retracted his statement as Bitcoin’s price surged toward new all-time highs.

“I might be missing something about Bitcoin so I’d love to be corrected,” he said in a Nov. 17, 2020 tweet.

In his note to clients, Dalio admitted that Bitcoin has succeeded in “crossing the line” from a speculative idea to an asset with real value. He indicated that Bridgewater is focused on providing alternative stores of value via alt-cash funds that can protect investors from currency devaluation.

“Bitcoin won’t escape our scrutiny,” he said.