Founder of one of the largest investment firms, Carlyle Group, David Rubenstein, says he had skepticism about cryptocurrencies, but now feels “the genie has come out of the bottle.” Rubenstein concluded that the digital asset industry will not go away.
David Rubenstein on cryptocurrencies
In a recent interview with Colossus, David Rubenstein, co-founder of one of the world’s largest private equity firms, explained why he changed his mind about cryptocurrencies.
In 1987, Rubenstein founded the Carlyle Group. Today, the company is a $300 billion managing entity with offices in 26 countries. Rubenstein is chairman of the Council on Foreign Relations, trustee of Brookings Institution, and a recipient of the Carnegie Medal of Philanthropy.
When I first heard about cryptocurrencies, I was skeptical because I found nothing behind it, he said. However, he added that today he sees young investors moving away from the dollar or euro.
He explained: “They think: I really can’t get gold for my dollar anymore,” referring to the current monetary system, which is not linked to gold.
He then discussed the advantages of bitcoin in more detail.
According to him, Bitcoin’s biggest advantage is its privacy. “You cannot see how many bitcoins someone has. It’s also great that BTC can be easily transferred to other ends of the world.
What makes people want cryptocurrencies?
As an example of the latter context, he mentioned the ongoing conflict between Russia and Ukraine. He stated that cryptocurrencies are particularly useful just “if you are in Russia or Ukraine and you want to have some assets” and your country is having a lot of issues.
I think cryptocurrency probably makes you feel better about having something that is outside the control of governments and not reliant on banks,” he explained.
Additionally, Rubinstein said that one reason why investors are drawn to cryptocurrencies is their ability to see how other people make money in this market. “Investors tend to go where people have made money,” he said.
Read Also: Bitcoin price dropped below $40,000