Ray Dalio’s Bold Move: Allocate 15% to Bitcoin or Gold as U.S. Debt Hits $36.7 Trillion

Ray Dalio drops a bombshell recommendation as America's debt pile balloons to $36.7 trillion—time to hedge with digital gold or the OG safe haven.

The hedge fund titan's prescription? A 15% portfolio allocation to either Bitcoin or gold. No half-measures when the ship's taking on water.

Why now? The dollar's looking shakier than a crypto exchange's Terms of Service page. With Treasury printers working overtime, Dalio's playing defense like a Wall Street veteran who remembers what inflation actually feels like.

Gold bugs vs Bitcoin maximalists—place your bets. Just don't be the bagholder stuck with 100% fiat when the music stops.

TLDR

• Ray Dalio now recommends allocating 15% of a portfolio to Bitcoin or gold.

• He previously advised only 1–2% in Bitcoin back in 2022.

• Dalio warns of a U.S. “debt doom loop” as national debt hits $36.7 trillion.

• A U.S. Treasury report projects $1 trillion in new borrowing for Q3 2025.

• Dalio prefers gold but sees Bitcoin as a useful diversifier against fiat devaluation.

Ray Dalio, the billionaire founder of Bridgewater Associates, has updated his investment guidance in response to rising U.S. debt and concerns over currency devaluation. In a recent podcast appearance, he suggested that investors allocate 15% of their portfolios to Bitcoin or gold.

*BREAKING*

Ray Dalio Backs 15% allocation to #Bitcoin and Gold amid worsening US debt crisis.

That’s a notable shift from his 2022 recommendation of just 1–2% in $BTC reflecting growing concern over what he calls a “debt doom loop.”#DigitalAssets pic.twitter.com/IwojfFFz4O

— James McKay (@McKayResearch) July 29, 2025

Dalio previously recommended just a 1–2% allocation to bitcoin in 2022. His latest comments represent a sharp change in strategy as U.S. fiscal conditions worsen.

He made the comments on the Master Investor podcast. Dalio framed the MOVE as a way to achieve an improved return-to-risk ratio in a changing financial landscape.

Dalio said he holds some Bitcoin but still strongly prefers gold. He left the exact split between the two assets up to individual investors.

U.S. Debt Concerns Drive Portfolio Shift

Dalio’s advice comes in the context of what he calls a “debt doom loop” in the United States. He pointed out that the U.S. government now holds $36.7 trillion in national debt.

The man has a point. https://t.co/zaUGGjx6im pic.twitter.com/tIF8XX7KRu

— Bitwise (@BitwiseInvest) July 28, 2025

To service that debt, Dalio expects the government will need to issue an additional $12 trillion in Treasury bonds over the next year.

A U.S. Treasury report released this week supports that concern. The report shows that $1 trillion in new borrowing is expected in Q3 2025, which is $453 billion higher than previously estimated.

In Q4, the Treasury anticipates another $590 billion in borrowing. These projections reflect declining cash flows and shrinking reserves.

Dalio believes these conditions weaken the U.S. dollar and other fiat currencies, making assets like Bitcoin and gold more attractive.

Bitcoin and Gold as Store-of-Value Assets

Dalio described Bitcoin and gold as “effective diversifiers” for portfolios under current market conditions.

Bitcoin is currently trading at around $118,100. It is about 4% below its July all-time high of $123,230.

Gold has also performed well, hitting new highs multiple times in recent months.

While he recognizes Bitcoin’s potential, Dalio maintains skepticism about its future as a reserve currency. He raised concerns over blockchain transparency and government surveillance.

He noted that Bitcoin’s transaction history is publicly visible and could be exploited by regulators. He also pointed to the risk of undiscovered flaws in the asset’s code.

Despite those issues, Dalio sees Bitcoin as a useful hedge in a market where fiat currencies are losing purchasing power.

He advised investors to view both Bitcoin and gold as long-term stores of value that can help protect against inflation and fiscal instability.

Dalio’s new recommendation may reflect growing anxiety among institutional investors about sovereign debt and fiat currency erosion.