Friday, May 21, 2021

Rubenstein Says Cryptocurrency is Here to Stay


Carlyle Group co-founder David Rubenstein is one of America's policy making billionaires.  Rubenstein held off the removal of private equity's preferred carried interest taxation over the last decade through his relationships with those in power.

Rubenstein indicated cryptocurrencies are here to stay.  

“I think it’s here to stay. Cryptocurrency is not going away, just like gold is not going away. Yes, it’s had its ups and downs and [Wednesday] was not a good day for it but that’s true of anything that is relatively new. … It’s here because people in the market want something other than just the traditional currencies that we’ve had and whether that’s right or wrong, it’s clearly something that the market wants.”

If the market wants it, it gets it.  Is there no role for government regulation to protect citizens?   

He also met with President Joe Biden in his role as Kennedy Center Chairman.  I imagine President Biden said something like "David, it is good to see you again."

Rubenstein's family office, Declaration Partners, is redeveloping a $1.4 billion housing complex on Boston's Bunker Hill.  He is personally planning to invest in Africa.  

His last three guests on Bloomberg's The David Rubenstein Show were Senator Tammy Duckworth, Commerce Secretary Gina Raimondo and Fed Chief Jerome "Jay" Powell.  The last two are former private equity underwriters and likely hold some residual stake in PEU affiliates.

Greed and the lust for power has overtaken our halls of government.  The Carlyle Group led the way.  Even in retirement David Rubenstein has to have more.  The system is designed for him to achieve just that and he had a major role in that design.

Update 5-26-21:  Rubenstein's Declaration Partners has a stake in cryptocurrency broker Paxos.  Did he declare that conflict in his interview?