Cathie Wood Reveals Liquidating Paypal’s Venmo Holdings For Rival Cash App
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- Ark Invest significantly expanded its Block holdings by purchasing 225,937 shares.
- Wood even voiced the hope that PayPal would score significant victories in the future.
Cathie Wood, CEO of Ark Invest, said at Bitcoin 2022 that she prefers Block’s Cash App over PayPal’s Venmo service. On CNBC, Wood said that the investment company had liquidated all its PayPal assets to fully support Cash App. In contrast to Venmo’s “top-down” and frenzied approach to Bitcoin, she chose Cash App because she believed the payment network had followed an organic development strategy.
Early in 2018, Cash App began letting customers utilize their balances to purchase and sell Bitcoin via the service. Bitcoin transactions accounted for $10 billion in revenue in the business’s latest financial report. Since then, the company has focused on serving these Bitcoin transactions solely. In the last quarter of 2021, the figure was at $1.96 billion, a 119 percent increase.
Sixth-largest Investment
With the help of the Lightning Network, users of the Cash App may make quicker, more energy-efficient, and cheaper transactions. Square, the business that owns the platform, has rebranded as Block to narrow its emphasis to blockchain technology. The CEO of Block, Jack Dorsey, has stepped down from Twitter’s board to focus only on Bitcoin.
Block is Ark Invest’s sixth-largest investment, with a stake of almost 1% of the firm. In July 2021, after Dorsey announced a new division with a “main emphasis on Bitcoin,” Ark Invest significantly expanded its Block holdings by purchasing 225,937 shares.
Ark Invest sold its PayPal shares and publicly promoted Block as a rival to PayPal’s business model. PayPal has made efforts to strengthen its crypto offers, so this statement might have a depressing impact. Towards the conclusion of the discussion, Wood even voiced the hope that PayPal would score significant victories in the future.
Cryptocurrency
