Jack Dorsey's Love for Bitcoin Might Be Slowing Block Down – Motley Fool

Returns as of 02/20/2022
Returns as of 02/20/2022
Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services.
You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More
Block ( SQ -6.06% ) already has several exciting businesses within its ecosystem that have massive momentum and potential — and don’t involve Bitcoin and blockchain. In this segment of “The Future of Fintech,” recorded on Feb. 3, Motley Fool contributors Matt Frankel and Jason Hall examine Block CEO Jack Dorsey’s hyper-focus on cryptocurrency. 

Matt Frankel: I’ve said many times that Jack Dorsey’s focus on bitcoin and blockchain is probably my least favorite thing about Square as an investor. It’s not really to put down any cryptocurrency investors, there’s a solid case to be made for bitcoin and some of the others.
Jason Hall: Yeah, I want to just jump in. I own bitcoin and I bought bitcoin very recently. I’m certainly part of the crowd that thinks that crypto and blockchain is going to be important, but it’s that hyper-focus, right Matt.
Matt Frankel: Yeah. They’re already at minimum three or four different business lines that have massive opportunities and massive potential and massive momentum within their ecosystem that don’t involve bitcoin and blockchain. I’m worrying that the focus is shifting away from those. I mean, we mentioned Afterpay buy now pay later. You have the Cash App ecosystem, you have the seller ecosystem. You have the bank, you’ve Titled that they could really try to double-down on monetization with.
I just think the business is great without all the extra focus on cryptocurrency and blockchain. I want to see that, not necessarily even Jack Dorsey, but that the company is really still laser-focused on growing payment volume, providing services to merchants that don’t have to do with cryptocurrency and blockchains, things like that. Growing the bank in ways that have to do with US dollars, not cryptocurrencies.
That’s where I’m at. I bought more shares recently, by the way. Not too recently obviously, but I’ve bought shares pretty recently since the downturn and I plan to add to the position as long as their earnings aren’t a total disaster.
*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.
Invest better with the Motley Fool. Get stock recommendations, portfolio guidance, and more from the Motley Fool’s premium services.

Making the world smarter, happier, and richer.

Market data powered by Xignite.