Dalio Warns of US Debt Crisis, Recommends Rebalancing with Gold and Bitcoin

Billionaire investor Ray Dalio has warned that the US is heading towards a debt crisis within five years due to excessive spending. According to him, the country's current trajectory will lead to a traumatic financial situation unless drastic measures are taken.

Dalio emphasized the importance of portfolio rebalancing to mitigate the risks associated with this impending crisis. He suggested that investors should underweight debt assets and allocate more funds to 'non-government money' such as gold and Bitcoin.

The billionaire investor specifically mentioned a 15% allocation to gold and a stake in Bitcoin as essential for surviving the potential currency devaluation. However, he did not provide any specific advice on how much of an individual's portfolio should be invested in these assets.