Ray Dalio identifies the primary risk associated with central bank digital currencies., 2026/02/10 12:28:37

The founder of the hedge fund Bridgewater Associates, Ray Dalio, stated in an interview with journalist Tucker Carlson that central bank digital currencies (CBDCs) will eliminate the privacy of transactions.

He pointed out that CBDCs may appear appealing due to their convenience and speed of transactions, likening their functionality to that of money market funds. However, beneath this apparent simplicity lie fundamental limitations that render central bank digital currencies a questionable option for long-term asset storage.

“All transactions involving central bank digital currencies will be entirely transparent to the government. On one hand, this could aid in combating illegal activities; on the other hand, it opens up extensive opportunities for interference in the financial lives of citizens. There will be no privacy, and this is a highly effective mechanism for government control,” he emphasized.

According to the billionaire, the programmable nature of CBDCs will enable authorities to directly manage cash flows: automatically collect taxes, impose currency restrictions, and block access to funds when necessary. Such tools, Dalio noted, could transform digital currency into a highly effective lever of financial pressure.

He believes that particular risks will arise for foreign holders of central bank digital currencies. In times of political tension, governments may seize assets from citizens of sanctioned countries or restrict access to funds for political reasons. In extreme cases, users could simply be “disconnected” from the system, Dalio concluded.

Previously, the majority owner of the cryptocurrency exchange Binance, Changpeng Zhao, remarked at the WebX conference in Tokyo that central bank digital currencies are already becoming obsolete due to the rapid advancement of stablecoins.