Dawn Fitzpatrick, CEO and Chief Investment Officer of Soros Fund Management, says cryptocurrencies are here to stay and are already mainstream. She also believes a recession is inevitable
CEO of the Soros Fund.Crypto Is Here to Stay
Dawn Fitzpatrick, CEO and chief investment officer of Soros Fund Management, discussed cryptocurrencies and the U.S. economy in an interview with David Rubenstein that aired on Bloomberg on Tuesday. Soros Fund Management was founded in 1970 by George Soros and his former business partner Jim Rogers.
Fitzpatrick was asked about her views on crypto. Referring to Fidelity’s announcement that it would allow bitcoin investments in 401(k) retirement accounts, she replied.
It’s here to stay. I think it has become mainstream.
The executive added, “One caveat I would say is . I think ethereum could gain some traction over bitcoin in that context, as climate impacts become more and more important.” She added.
She also said, “Blockchain technology will have some great applications.” She noted.
Fitzpatrick’s Views on the U.S. Economy and Recession
The Soros Fund Management chief shared her thoughts on reports that the U.S. economy contracted in the first quarter of this year. He said, “If you look at those GDP numbers, I think the really important point is that the reason for the contraction is net imports, which are negative, which means that we are importing a lot of goods from abroad. In other words, we are importing a lot of goods from abroad. This is because consumer and business demand is strong. So I think there is a silver lining in that GDP number reading,” he explained.
In response to a question about whether he thinks a recession is coming, Fitzpatrick said.
There is a lot of discussion about the looming recession, but the bottom line is that a recession is inevitable. It’s just a question of when.
Regarding high inflation and the Federal Reserve raising interest rates, a Soros Fund executive said, ” There is no doubt that interest rates will rise and the Fed will move very quickly. However, interest rates minus inflation are still negative, so monetary policy is still really easy.”
“I don’t think a recession is inevitable. I just think it will be much further along than people expect.” She concluded.
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