According to Odaily, Block, the payment company co-founded by Jack Dorsey, has announced a strategic shift to concentrate on the development of Bitcoin mining equipment and self-custody crypto wallets. This decision comes as the company reallocates funds by discontinuing its 'Web5' decentralized internet project and reducing its investment in the Tidal music streaming service. The announcement coincides with the news of Donald Trump's victory in the U.S. presidential election, during which he pledged to create a more favorable environment for the cryptocurrency industry, including support for Bitcoin mining.
Block's financial performance in the third quarter revealed a revenue of $5.98 billion, falling short of Wall Street's expectations of $6.24 billion. This shortfall in revenue has led to a 10% drop in the company's stock price. The company's renewed focus on Bitcoin mining and self-custody wallets is seen as a strategic move to align with the evolving landscape of the cryptocurrency market, especially in light of the potential regulatory changes promised by the new administration. By shifting its resources and attention to these areas, Block aims to strengthen its position in the crypto industry and capitalize on the growing demand for decentralized financial solutions.
